SINCE THE BRENT OIL PRICE BROKE THROUGH $60 PER BARREL IN FEBRUARY THIS YEAR, MULTIPLE ATTEMPTS HAVE BEEN MADE IN MARCH AND MAY TO BREAK THROUGH THE $70 PER BARREL INTEGER MARK WITHOUT SUCCESS. UNTIL JUNE 1ST, WHEN OPEC AND ITS PRODUCTION PARTNERS (OPEC+) ANNOUNCED THE CONTINUATION OF THEIR PREVIOUS PRODUCTION POLICIES IN JULY, THE MAIN BRENT CRUDE OIL FUTURES CONTRACT PRICE CLOSED ABOVE $70 PER BARREL, AND CONTINUED TO CLOSE ABOVE $71 PER BARREL FOR THE FOLLOWING THREE TRADING DAYS.IN THE PAST QUARTER, THE PRESSURE FACED BY FURTHER INCREASES IN OIL PRICES MAINLY CAME FROM CONCERNS ABOUT A SIGNIFICANT INCREASE IN IRANIAN CRUDE OIL SUPPLY. THE UNITED STATES AND IRAN HAVE BEEN ENGAGED IN MARATHON STYLE INDIRECT NEGOTIATIONS SINCE EARLY APRIL REGARDING THE US REJOINING THE IRAN NUCLEAR AGREEMENT. ONCE AN AGREEMENT IS REACHED, THE UNITED STATES IS EXPECTED TO LIFT SANCTIONS ON IRAN'S CRUDE OIL EXPORTS. IRAN HOPES THAT CRUDE OIL EXPORTS CAN RECOVER TO 2.5 MILLION BARRELS PER DAY, WHILE ITS DAILY AVERAGE CRUDE OIL EXPORTS IN THE THIRD QUARTER OF 2020 AND THE FIRST QUARTER OF 2021 WERE ONLY 420000 BARRELS AND 825000 BARRELS, RESPECTIVELY.HOWEVER, THERE IS INFORMATION INDICATING THAT THE FINAL AGREEMENT MAY NOT BE REACHED UNTIL THE THIRD QUARTER. IN THIS WAY, THE URGENCY OF INCREASING IRAN'S CRUDE OIL SUPPLY HAS BEEN GREATLY ALLEVIATED, AND MARKET CONCERNS HAVE BEEN ALLEVIATED.MEANWHILE, WITH THE ARRIVAL OF SUMMER, GLOBAL OIL DEMAND IS SHOWING A STRONG RECOVERY MOMENTUM. THE PROGRESS IN VACCINATION IN EUROPE HAS ALSO EASED MARKET CONCERNS.THE MARKET EXPECTS THAT GLOBAL DAILY OIL DEMAND WILL INCREASE BY MILLIONS OF BARRELS THIS SUMMER. OPEC+ADOPTED A GRADUAL APPROACH FROM MAY TO JULY TO GRADUALLY REDUCE THE SCALE OF PRODUCTION CUTS, WITH SUPPLY GROWTH OF ONLY ABOUT 2 MILLION BARRELS PER DAY, AND THE MARKET CAN FULLY ABSORB THE SUPPLY GROWTH. GLOBAL CRUDE OIL SUPPLY AND DEMAND ENTERED A STATE OF OVERSUPPLY IN APRIL, ACCOMPANIED BY A CONTINUED DECLINE IN GLOBAL CRUDE OIL INVENTORIES AND A SHIFT IN MARKET SENTIMENT.AUSTRIA'S JBC ENERGY RECENTLY STATED THAT WITH THE RECOVERY OF DEMAND, IT IS EXPECTED THAT THE NET GLOBAL OIL SUPPLY GAP IN JULY AND AUGUST WILL INCREASE FROM THE CURRENT LEVEL OF AROUND 1 MILLION BARRELS PER DAY TO ABOUT 3 MILLION BARRELS PER DAY.REGARDING THE INCREASE IN IRANIAN CRUDE OIL SUPPLY, OPEC SECRETARY GENERAL BARKINDO PREDICTS THAT THE RETURN OF IRANIAN CRUDE OIL PRODUCTION AND EXPORTS WILL BE ORDERLY AND TRANSPARENT. PAUL SHELDON, CHIEF GEOPOLITICS ADVISOR AT STANDARD&POOR'S GLOBAL PLATTS ANALYSIS, STATED THAT ASSUMING US SANCTIONS ON IRAN ARE FULLY LIFTED IN SEPTEMBER, IT IS EXPECTED THAT OPEC AND NON OPEC OIL PRODUCING COUNTRIES WILL INCREASE THEIR CRUDE OIL SUPPLY BY 1.7 MILLION BARRELS PER DAY FROM AUGUST TO DECEMBER, WITH AN INCREASE OF 925000 BARRELS IN AUGUST.THE GAP BETWEEN SUPPLY AND DEMAND IN THE INTERNATIONAL OIL MARKET IS ACTUALLY THE RESULT OF THE ARTIFICIAL REGULATION OF OPEC AND OTHER PRODUCTION REDUCTION COUNTRIES. OIL PRODUCING COUNTRIES HAVE A LARGE AMOUNT OF SURPLUS CAPACITY, LACKING THE HEDGING OF US SHALE OIL, AND OPEC+HAS SIGNIFICANTLY ENHANCED ITS ABILITY TO CONTROL INTERNATIONAL OIL PRICES.