Global oil prices fell to $61 per barrel, down from over $62, as ongoing instability in Venezuela continues to weigh on markets. The South American country holds 303 billion barrels of proven oil reserves—about 17% of the world’s total—which has heightened investor caution.
Analysts warn that prices could slip 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 affect market trends. On January 4, 2026, eight OPEC+ countries confirmed they would hold back production increments for February and March, citing seasonal factors.
Petroleum economist Prof. Wumi Iledare described the move as a precautionary 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 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.”
