05.01.202613:11:35UTC+00WTI Crude Inches Higher

WTI crude oil futures experienced a slight increase after trading predominantly lower throughout Monday's session, as the global supply outlook remained stable in the short term following the capture of Venezuelan President Nicolas Maduro. Over the weekend, U.S. forces apprehended the President during a raid, subsequent to prior weeks of targeting and blockading Venezuela's oil production and export infrastructure. Despite Venezuela's possession of the largest proven crude oil reserves globally, years of underinvestment in its energy sector have restricted the nation's oil exports primarily to Russia, Iran, and China—nations that have not imposed sanctions on Caracas. Furthermore, the region's heavy and sour crude oil grades result in Venezuelan oil being sold at a significant discount to WTI prices, thereby increasing the challenges for U.S. companies to invest due to the complexities involved in extraction. Concurrently, OPEC+ has confirmed its intention to maintain current output levels through the first quarter.