Brent Oil Remains on a Consolidation Path, Breakout Awaits New Trigger
Brent prices rose to around US$70.28/barrel in recent trading, boosted by the US-EU trade deal and hopes for an extension of US-China tariff negotiations, which have improved the outlook for global oil demand.
Global demand is experiencing a slowdown, with OPEC and the IEA forecasting global oil demand growth of only 700,000–1.29 million bpd in 2025—the lowest level since 2009. Despite rising Asian imports, demand growth remains moderate.
Recent reports showing a drawdown in global oil stocks and potential supply disruptions in the Middle East (e.g., threats to destroyer shipping lanes by the Houthi group in Yemen) are supporting prices near the $70 level.
On the supply side, OPEC+ is increasing production, with plans for an additional 548,000 bpd in August and possibly more in September, potentially creating a supply surplus.
Global demand remains weak, but trade and geopolitical issues are limiting pressure. The market is in a narrow consolidation. If it breaks above $69.10, the next target is $77–$78 (medium-term resistance). If it fails to hold support around $66.10, pressure could potentially reach $64 or lower.
Source: Newsmaker.id
