Oil prices are likely to record their worst week since March under the double blow of additional OPEC supply coming to markets and unfavorable fuel inventory data from the United States.

Indian refiners imported in June 2021 the lowest volume of crude oil in nine months, as purchases slowed down in April and May when India imposed regional mobility restrictions to curb a resurgence in COVID cases, Reuters reported on Friday, quoting tanker data from trade sources.

China saw its first-half crude imports drop year over year for the first time in a first half in eight years, sparking concerns in the market that purchases from the world’s largest oil importer may not be too supportive for oil in the coming months. At the same time, Chinese fuel exports have been rising this past half-year due to record refinery run rates amid a glut of refined oil products.

China’s refineries processed a record amount of crude oil last month, at 14.8 million bpd, up by 3.9 percent from May when run rates also broke records, Reuters reported, citing data from the national statistics bureau.

World oil demand is expected to surpass the 100 million barrels per day (bpd) mark in the second half of 2022, thanks to solid economic growth and expectations of continued success in containing the pandemic, OPEC said on Thursday.

Oil prices dropped early on Thursday as the market assesses the prospect of higher crude supply from the OPEC+ group after a reported compromise between key OPEC members Saudi Arabia and the United Arab Emirates (UAE).

Goldman Sachs has reiterated its $80 price forecast for Brent crude despite reports that Saudi Arabia and the United Arab Emirates had reached a deal on oil production that will extend the OPEC+ deal until the end of next year.

Oil prices steadied on Wednesday morning before the EIA inventory report after a reported compromise between Saudi Arabia and the UAE over baseline production levels removed a major uncertainty that was hanging over the market.

Crude oil prices inched higher today after the Energy Information Administration reported a crude oil inventory draw of 7.9 million barrels for the week to July 9.

Kuwait’s life-after-oil fund may have become one of the world’s biggest sovereign wealth funds thanks to the country’s healthy oil industry, as it continues to prepare for a life after oil as it invests heavily in the sector while it still can. The Future Generations Fund, managed by the Kuwait Investment Authority or KIA, is thought to be worth around $700 billion at present, according to sources in the country, after closing at $670 billion at the end of the fiscal year in March, making it the world’s largest oil fund after those of Norway and China.

The upstream oil and gas business is recovering from one of the worst slumps in recent memory as oil prices sit at around $75 per barrel and global demand rises.However, the downstream segment's suffering is set to linger—and not only in the short term. Lower refining margins and structural overcapacity are the near-term challenges ahead for the oil refining industry.

Now, commodities are back with a vengeance, and nowhere is this vengeance clearer than in oil. Crude has become the hottest commodity for traders in the past few weeks as surging demand has topped all expectations, sparking a run on oil futures.