Oil on Monday shrugged off the impact of OPEC+ hiking output more than expected for August as well as concern about the potential impact of U.S. tariffs, with prices mostly reversing early losses as a tight physical market lent support.

The increase, which the group said was a response to “a steady global economic outlook,” was higher than some analysts expected and could lead to lower oil prices.

OPEC+ boosts summer oil production by 548,000 bpd in August, surprising markets, pushing prices lower, and stirring global stock volatility amid U.S. tariffs.