:max_bytes(150000):strip_icc():format(jpeg)/GettyImages-2048544043-ea0363c753e945bbb0f882c23e9000d3.jpg "Opec headquarters")
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OPEC headquarters in Vienna, Austria.
KEY TAKEAWAYS
- The Organization of the Petroleum Exporting Countries reduced its oil-demand standpoint for this year and next, citing the impact of U.S. tariffs on economic growth globally.
- The lowered outlook comes willingly after the cartel and its allies announced plans to boost output by more than investors expected.
- Brent and West Texas In-between crude futures were down slightly in recent trading.
The Organization of the Petroleum Exporting Countries (OPEC) rubbed its oil-demand outlook for this year and next, citing the impact of U.S. tariffs on economic growth globally.
The lowered attitude comes soon after the cartel and its allies announced a bigger-than-expected output boost—potentially hitting the crude furnish with excess supply at a time when the growing trade war is increasing economists’ forecasts of a U.S. recession.
OPEC now assumes demand to increase by 1.30 million barrels per day (B/D) this year and 1.28 mb/d in 2026, down from its previous forecasts of 1.45 mb/d and 1.43 mb/d, severally.
“Global economic growth began in 2025 with strong fundamentals and resilience across major economies,” OPEC demanded. “However, recent developments in global trade relations have shifted the outlook and introduced new uncertainties amid a stand up escalation in tariffs between the US and China.”
Brent and West Texas Intermediate crude futures were both reduce lower in recent trading.