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• WTI falls nearly 2% to trade around $62.20, erasing early-week gains.
• OPEC+ output rises by 509,000 bpd in August, total production hits 42.4 million bpd.
• IEA warns of 2.5 million bpd global surplus in H2 2025; trims demand forecast to 740,000 bpd.

West Texas Intermediate (WTI) Crude Oil comes under renewed selling pressure on Wednesday, paring most of the gains registered earlier this week, as investors respond to back-to-back bearish signals from the Organization of the Petroleum Exporting Countries (OPEC) and the International Energy Agency (IEA) monthly reports.

At the time of writing, WTI trades around $62.20 per barrel, down nearly 2.0% on the day, retreating from a weekly high near $63.80.

The OPEC Monthly Oil Market Report (MOMR) for September projected that global Oil demand growth would remain steady at 1.3 million barrels per day in 2025, but highlighted a sharp increase in crude production by OPEC+ countries. According to the report, OPEC+ output jumped by 509,000 barrels per day in August, bringing total production to 42.4 million barrels per day. Meanwhile, hedge funds turned net short on NYMEX WTI futures for the first time in months, fueling further downside pressure.

Separately, the IEA’s September Oil Market Report, released earlier on Thursday, flagged a potential global surplus of 2.5 million bpd in H2 2025, driven by surging output from the US, Brazil, Canada, and OPEC+ members. The agency trimmed its demand growth forecast to just 740,000 bpd, citing weakening consumption trends in advanced economies and soft refinery margins in Asia.

Meanwhile, fresh data from the US Energy Information Administration (EIA) released on Wednesday showed a surprise 3.9 million barrel build in U.S. crude inventories last week, underlining sluggish end-of-summer demand. Gasoline and distillate stocks also rose, suggesting downstream consumption remains tepid.

Technically, WTI is now hovering just above a key horizontal support zone around $62.00. A decisive daily close below this zone could pave the way for a deeper pullback toward $60.50 and $59.50 in the coming days. On the flip side, immediate resistance lies at the 21-day Simple Moving Average (SMA), at $63.21.The Relative Strength Index (RSI) on the daily chart prints at 43.50, indicating weakening bullish momentum and reinforcing the risk of further losses. With supply-side fundamentals and technical signals aligning to the downside, WTI may continue to face headwinds.

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