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0 News Ghana, Latest Updates and Breaking News of Ghana, Roger A. Agana, https://newsghana.com.gh/crude-oil-futures-face-downward-pressure-amid-demand-concerns-and-stronger-dollar/
Crude oil futures are heading toward a lower weekly close, driven by growing concerns about global demand, particularly from China, the world’s largest oil importer.
Sinopec, China’s state-owned refiner, has indicated that the country’s crude imports could peak as early as 2025, with overall oil consumption expected to plateau by 2027 due to declining demand for diesel and gasoline. This uncertainty is adding downward pressure to global oil prices, as traders worry that reduced demand from China could lead to an oversupply.
Further exacerbating the bearish outlook, OPEC+ has lowered its global oil demand growth forecast for the fifth consecutive month, reinforcing fears that supply may outpace demand. Additionally, the U.S. dollar has strengthened to a two-year high, which tends to weigh on oil prices as it makes crude more expensive for holders of other currencies.
The Federal Reserve’s cautious stance on potential rate cuts in 2025 adds to concerns about slower economic growth, which could dampen oil demand. While the possibility of G7 nations tightening sanctions on Russian oil could offer some price support, it also introduces further market uncertainty.
News Ghana, Latest Updates and Breaking News of Ghana, Roger A. Agana, https://newsghana.com.gh/crude-oil-futures-face-downward-pressure-amid-demand-concerns-and-stronger-dollar/
