Editorial & Advertiser disclosure

Global Banking and Finance Review is an online platform offering news, analysis, and opinion on the latest trends, developments, and innovations in the banking and finance industry worldwide. The platform covers a diverse range of topics, including banking, insurance, investment, wealth management, fintech, and regulatory issues. The website publishes news, press releases, opinion and advertorials on various financial organizations, products and services which are commissioned from various Companies, Organizations, PR agencies, Bloggers etc. These commissioned articles are commercial in nature. This is not to be considered as financial advice and should be considered only for information purposes. It does not reflect the views or opinion of our website and is not to be considered an endorsement or a recommendation. We cannot guarantee the accuracy or applicability of any information provided with respect to your individual or personal circumstances. Please seek Professional advice from a qualified professional before making any financial decisions. We link to various third-party websites, affiliate sales networks, and to our advertising partners websites. When you view or click on certain links available on our articles, our partners may compensate us for displaying the content to you or make a purchase or fill a form. This will not incur any additional charges to you. To make things simpler for you to identity or distinguish advertised or sponsored articles or links, you may consider all articles or links hosted on our site as a commercial article placement. We will not be responsible for any loss you may suffer as a result of any omission or inaccuracy on the website.

Finance

HSBC expects OPEC+ oil quota increases to accelerate later in 2026

Published by Global Banking and Finance Review

Posted on November 4, 2025

Featured image for article about Finance

(Reuters) -HSBC expects OPEC+ to accelerate oil output quota increases in the second and third quarters of 2026 as the producer group focuses on regaining market share, the bank said on Tuesday.

OPEC+ agreed on Sunday a small oil output increase for December and a pause in increases in the first quarter of next year.

It has raised output targets by around 2.9 million barrels per day - or around 2.7% of global supply - since April, but slowed the pace from October amid predictions of an oversupply.

HSBC said that OPEC+'s latest decision signals caution over seasonally weaker demand but does not indicate a shift in strategy.

"Even now that OPEC+ has paused, we remain very sceptical about the group reversing the unwinding and cutting again. We expect it to consider doing (that) only if Brent remains below $55/b for a prolonged period," the bank said.

HSBC now forecasts a 2.7 million barrels per day (mbpd) oversupply in the first quarter of 2026, down from a previous estimate of 3 mbpd, and expects an average oversupply of 2.1 mbpd for the full year, compared with 2.4 mbpd previously.

It said the first-quarter 2026 pause has a slightly positive impact on oil balances, but not enough to prevent a large surplus next year.

(Reporting by Anushree Mukherjee and Anmol Choubey in Bengaluru; Editing by Emelia Sithole-Matarise)