OPEC: The Oil Market Remains Strong Despite Negative Sentiment

The Organization of the Petroleum Exporting Countries (OPEC) indicated on Monday that "the fundamentals of the oil market remain strong," blaming speculators for the decline in prices. They slightly raised their expectations for global oil demand growth in 2023 while maintaining relatively high forecasts for 2024. However, the organization stated that "the market is in good shape, despite exaggerated negative sentiment," attributing this to strong Chinese imports, slight chances of economic growth slowdown, and the robustness of the current oil market. The price of Brent crude fell to around $82 per barrel from its highest level in 2023, recorded in September at nearly $98. Concerns about economic growth and demand have pressured prices, despite support from supply cuts by OPEC and its allies and conflict in the Middle East.