This week’s opening rebound is largely driven by a weaker US Dollar and higher equity markets, said Dennis Kissler, senior vice president of trading at BOK Financial. “Saudi Arabia gave no signs of immediate production increases coming, which sums up to last week’s selloff probably being over exaggerated.”

Crude has slumped since mid-June as concerns about a potential recession ripped through commodity markets, eroding gains that followed Russia’s invasion of Ukraine. Nonetheless, Biden remains eager to get the Organization of Petroleum Exporting Countries to add supplies to bring prices down further and help quell inflation.

OPEC and its allies next meet on Aug. 3 after members agreed to revive the crude supplies that were halted during the coronavirus pandemic. Analysts at RBC see Saudi Arabia and a handful of other producers likely to making another modest supply hike.

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