Wednesday, January 7, 2026 - Global oil prices have fallen to $61 per barrel amid instability in Venezuela, down from over $62 per barrel. The South American nation’s 303 billion barrels of proven oil reserves, about 17% of the global total, continue to weigh on market sentiment.
Analysts suggest that prices could drop further below $60
per barrel if tensions between the United States and Venezuela persist.
Meanwhile, OPEC+’s recent decision to pause production
increases has yet to significantly influence the market. On January 4, 2026,
eight OPEC+ countries confirmed they would hold back production increments for
February and March due to seasonal factors.
Petroleum economist Prof. Wumi Iledare said the move signals
caution rather than crisis and reflects a strategy to avoid volatility.
“The key message is flexibility. The 1.65 million barrels
per day voluntary cuts can be restored gradually, in part or in full, depending
on market conditions. Low inventories and a steady global economic outlook
suggest a broadly balanced oil market,” he explained.
OPEC noted that the participating countries “reiterated that
the 1.65 million barrels per day may be returned gradually, in part or in full,
and confirmed their intention to fully compensate for any overproduced volume
since January 2024.”
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