Crude oil prices declined by more than 4% at the start of the European session on Monday, February 2nd, the opening session of the week, as geopolitical concerns eased and tensions, which had been high last week, subsided. This followed OPEC+’s confirmation of its decision to suspend production increases in March. Brent crude fell by approximately 4.26%, trading at $66.37 per barrel, while US crude (WTI) traded at $62.26 per barrel, down by about 4.52%.

The Organization of the Petroleum Exporting Countries (OPEC) and its allies, led by Russia, in the OPEC+ alliance, decided yesterday, Sunday, to renew their commitment, made at their November meeting, to suspend production increases in March due to seasonal factors. The voluntary cuts of 1.65 million barrels per day may be partially or fully reinstated gradually, depending on market developments.

In a related development, US President Donald Trump stated on Saturday that Iran is engaged in serious talks, while Iran’s top security official, Ali Larijani, confirmed that arrangements are underway for negotiations. This supported crude oil prices as the geopolitical risks that directly caused the sharp rises last week subsided.