Oil prices fell sharply on Thursday after OPEC+ announced plans to accelerate production increases starting in May.
The decision added to losses triggered by U.S. President Donald Trump's new tariff policy, which raised concerns about global economic growth and fuel demand.
Brent crude dropped $4.51, or 6.02%, to $70.44 per barrel, while U.S. West Texas Intermediate (WTI) fell $4.63, or 6.46%, to $67.08.
OPEC+ ministers agreed to boost oil supply by 411,000 barrels per day in May, more than triple the 135,000 bpd increase initially planned. The move signaled confidence that the market could absorb the additional supply despite potential economic headwinds.
The U.S. tariffs, announced Wednesday, impose a 10% minimum duty on most imports, with steeper rates for select countries. While oil and gas imports are exempt, the policy raised fears of global trade disruptions that could weigh on energy demand.
Market sentiment was further pressured by U.S. crude inventory data showing an unexpected rise of 6.2 million barrels last week, defying expectations of a 2.1 million-barrel decline. Traders now anticipate increased price volatility as nations respond to the tariffs and adjust trade policies.
