As the world’s top investment manager and financial market journalist, I bring you the latest insights on oil price forecasts for the second half of 2024. According to a recent Reuters poll of 36 analysts and economists, the consensus is that oil prices will remain relatively stable, with Brent crude averaging around $83.66 per barrel and West Texas Intermediate at $79.22.
Analysts from CRISIL Market Intelligence and Analytics point to stable demand-supply dynamics keeping prices in the $80-85 per barrel range, despite slower demand in Europe and increased OPEC+ supply. China’s fuel oil imports have declined by 11% in the first half of the year, reflecting economic challenges and a shift towards electric mobility.
Global oil demand is expected to grow by 1-1.5 million barrels per day in 2024, higher than the International Energy Agency’s forecast. Geopolitical risks, such as the conflict in Gaza and threats to shipping in the Red Sea, continue to influence market sentiment.
Looking ahead, analysts anticipate OPEC+ to maintain production cuts of 3.66 million barrels per day until the end of 2025, with additional cuts phased out from October 2024. Despite some uncertainties, the overall outlook for oil prices remains steady.
In conclusion, it is crucial for investors and individuals to stay informed about market trends and geopolitical developments that could impact oil prices. By understanding these factors, one can make more informed decisions about their finances and investments. Stay tuned for more updates on the dynamic world of oil markets.