Oil prices fell on Wednesday despite growing signs that the longest US government shutdown in history may soon end, as persistent concerns over global oversupply weighed on the market.
International benchmark Brent crude was trading at $64.80 per barrel at 09.33 a.m. local time (0633 GMT), down around 0.13% from the previous close of $64.89.
US benchmark West Texas Intermediate (WTI) also decreased by about 0.13% to $60.80, compared to $60.88 in the prior session.
The US Senate passed legislation Monday to end the longest-ever government shutdown, which is now in its 42nd day.
By a vote of 60-40, the Senate passed H.R.5371, the Continuing Appropriations and Extensions Act, 2026, as amended.
Sens. Catherine Cortez Masto, Dick Durbin, John Fetterman, Maggie Hassan, Tim Kaine, Angus King, Jacky Rosen and Jeanne Shaheen joined Republicans in supporting the measure.
Republican Sen. Rand Paul voted against the bill, which extends federal funding through Jan. 30, 2026.
The legislation also includes three-year appropriations packages covering essential agencies and programs, while reinstating federal employees who lost their positions during the shutdown.
The shutdown began on Oct. 1 after a breakdown in negotiations on federal spending priorities. Thousands of federal workers have since been furloughed, working without pay, while government services have been curtailed or suspended.
Production policies of the Organization of the Petroleum Exporting Countries (OPEC) and its allies, collectively known as OPEC+, are fueling concerns about potential oversupply in the oil market.
At its Nov. 2 meeting, the group cited a stable global economic outlook and low inventory levels and decided to raise production by 137,000 barrels per day. However, members agreed to pause output increases in the first quarter of 2026 due to seasonal factors.
While the move slightly eased short-term supply concerns, OPEC+'s tendency to continue production hikes has strengthened oversupply risks, putting additional downward pressure on prices. The group's next meeting is scheduled for Nov. 30.
Weak demand in China, the world's largest oil importer, is also seen as adding to a potential supply surplus.
At the same time, uncertainty over the impact of US sanctions on Russian oil giants Rosneft and Lukoil is contributing to market weakness.
Sanctions that took effect last month are expected to tighten global fuel supply and partly offset any potential surplus in the coming months.
By Handan Kazanci
Anadolu Agency
energy@aa.com.tr
