Global oil markets are under pressure as Brent crude futures fell toward $66 per barrel on Friday, marking a third consecutive session of losses and signaling a weekly decline. Analysts say market sentiment is being shaped by expectations of rising global supply and shifting geopolitical dynamics, with potential impacts reaching as far as Ghana.
Investors are awaiting the upcoming OPEC+ meeting, where producers are expected to discuss potential production increases aimed at regaining market share from U.S. shale. Rising output from both OPEC+ and independent drillers, combined with a 2.4 million-barrel rise in U.S. commercial crude inventories last week, including 1.6 million barrels at Cushing, Oklahoma, the largest since March, has raised concerns of a global oil surplus.
Additional factors clouding fuel demand include slowing U.S. economic growth, the approaching end of the summer driving season, and ongoing trade tariffs, all of which have softened expectations for near-term oil consumption.
Meanwhile, geopolitical developments are adding complexity. U.S. President Donald Trump urged European countries to halt Russian oil imports, a move that could restrict supply and push prices higher, highlighting the growing influence of politics on energy markets.
At the same time, Russia and China are deepening energy cooperation. The Power of Siberia 2 pipeline, a 2,600 km project, along with increased volumes from existing pipelines, will position Russia as China’s largest gas supplier, potentially doubling its share of Chinese imports once completed.
Analysts say this deal reduces Beijing’s reliance on the U.S. LNG and signals a strategic challenge to U.S. energy influence. The delivery of China’s first LNG cargo from Russia’s Arctic LNG 2 plant, despite heavy U.S. sanctions and just days before Russian President Vladimir Putin’s visit to Beijing, underscores the political dimension of the agreement.
For Ghana, which depends heavily on imported petroleum products, these global developments could influence local fuel prices. While the current dip in Brent may offer short-term relief at the pumps, analysts warn that geopolitical tensions, shifting supply patterns, and energy diplomacy in Asia are likely to keep fuel costs volatile in the coming months, affecting transport, electricity, and broader consumer prices.
