Oil prices really can't determine where they want to go. Oil prices fell Friday as many traders looked toward weaker demand in the United States, as well as an anticipated boost in supply in the coming months thanks to OPEC. Despite this, oil prices moved higher over the holiday weekend, with West Texas increasing up more than 2% while Brent Crude moved higher by 1% in early Tuesday trade.

OPEC is expected to meet this week where another increase in production may be announced. If that happens, many experts predict there could be a noticeable jump in the supply feeing global demand, which is fairly soft right now.

Oil Demand Expected To Dip

And that demand is expected to get weaker in the coming weeks, as we've now passed the Labor Day holiday, which is the unofficial end to the summer driving/vacation season here in the U.S. Another question in the back of the minds of investors...tariffs and trade wars as we get into the 3rd quarter and the end of the year draws near.

In addition, Reuters reported over the week that U.S. crude inventories for the week ending August 22nd showed higher-than-expected draws, implying late-summer demand was still firm, particularly in industrial and freight-related sectors.

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