Supply Overtakes Demand
Oil prices dipped on Wednesday after the International Energy Agency raised its global supply growth forecast for 2023 while trimming its demand outlook. Brent crude futures fell 0.7% to $65.67 a barrel, and US West Texas Intermediate slid 0.8% to $62.64.
All Eyes on Alaska Summit
Investors are gearing up for Friday’s meeting between US President Donald Trump and Russian President Vladimir Putin in Alaska. A breakthrough on the Russia-Ukraine conflict could reshape sanctions and influence crude flows to markets across Asia and Europe.
Market Drivers and Inventory Signals
OPEC’s latest monthly report lifted its global demand forecast for 2024 even as non-OPEC+ supply growth projections were trimmed—hinting at a tighter market ahead. Meanwhile, US crude stocks rose by 1.52 million barrels last week, according to API data, while gasoline inventories dipped and distillates inched up.
Looking Ahead: Prices Below $60?
The US Energy Information Administration’s Short Term Energy Outlook predicts Brent could average under $60 a barrel in Q4—its first sub-$60 quarter since 2020—if supply continues to outpace demand. From traders in New York to digital nomads in Bali, these shifts underscore the interconnected energy landscape and the ripple effects felt by markets, businesses, and consumers worldwide.
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Oil falls as IEA raises supply forecast ahead of US-Russia meeting
cgtn.com
