After 6 months of increasing supply, OPEC+ freezes it for October

WHAT HAPPENED

OPEC+ froze its oil production in October at about 31 million barrels per day, after increasing it for six months. Brent is around $95 and WTI is around $90.

WHY IT MATTERS

By not increasing supply, one of the few quick ways to cool the price disappears. The war in the Middle East keeps the Strait of Hormuz at risk. Gasoline, diesel, freight, plastics, and packaging feel it first.

AND FOR YOUR PORTFOLIO

For a long-term portfolio, expensive oil can raise transportation costs and reduce profits for businesses that move goods. In Mexico, it also increases the subsidy that the government uses to contain gasoline prices.