Oil prices stabilized following a significant surge, as market participants closely monitored developments in Venezuela amidst ongoing concerns about a potential global oversupply. Brent crude hovered around $62 per barrel, after a 1.7% increase in the prior session.

The price jump followed the capture of Venezuela's leader by U.S. forces over the weekend, introducing a geopolitical risk premium into the market. This event sparked optimism about a potential resurgence of Venezuela's energy sector, leading to a rise in the shares of American oil companies.

The market's reaction highlights the intricate interplay between geopolitical events and commodity prices. The Venezuelan situation, a source of instability, injected uncertainty into supply projections. Simultaneously, underlying anxieties about a global glut continued to exert downward pressure on prices, creating a complex dynamic.

Venezuela's oil industry, once a major global player, has suffered from years of mismanagement and underinvestment. Any significant recovery in its production capacity could have substantial implications for the global oil market, potentially easing supply constraints and impacting prices worldwide.

Looking ahead, the oil market's trajectory will likely depend on several factors. The stability of Venezuela, the actions of OPEC+ nations regarding production quotas, and the overall health of the global economy will all play crucial roles in shaping future price movements. Traders will be closely watching for signals that could indicate shifts in supply and demand, as they navigate the current environment of uncertainty.