Oil price forecasts have been raised for 2024 to $80 per barrel by analysts at Fitch (the rating agency), ICYMI:
- from previously forecast $75
- the forecast for 2025 was left at $75
Citing OPEC+ moves on supply cuts:
- "Weak global growth in 2024 could prompt further OPEC+ cuts if the oil market shifts decisively into surplus, but the latest deal at end-November highlighted reluctance to bring output much lower"
More from the report:
- expects global growth to drop 2.1% in 2024
- the market is likely to witness a deficit is likely to remain in H1 2024, provided the OPEC+ countries comply with previously announced production cuts
- Russian export volumes have continued to remain resilient despite sanctions
- US shale production growth is expected to moderate in 2024
