Oil Heads for Modest Annual Loss as Market Looks Ahead to 2025
Oil headed for a small annual loss after months locked in a narrow trading range, with the market facing the prospect of a turbulent year ahead.
West Texas Intermediate futures held above $71 after rising 0.6% on Monday, while Brent closed near $74. Donald Trump’s second presidential term, ongoing hostilities in the Middle East and Ukraine, and China’s persistent demand weakness are expected to impact oil prices in 2025.
Crude had a strong start to 2024 but has been stuck in a tight trading range since mid-October. There are widespread expectations that the market will be oversupplied next year, which will make it harder for OPEC and its allies to revive idled production.
WTI for February delivery was 0.3% higher at $71.20 a barrel at 7:47 a.m. in Singapore.
Futures are down 0.6% this year.
Brent for February settlement, which expires Tuesday, closed 0.3% higher at $74.39 a barrel on Monday.
The more-active March contract settled at $73.99.
Source : Bloomberg