Oil Prices Dip as Weaker Demand Outlook Counteracts Mideast Supply Concerns
Oil prices dipped on Thursday as investors assessed prospects for weaker global demand this year. Brent futures slipped $11, or 0.12%, to $88.87 a barrel by 0624 GMT, trimming gains over the prior six sessions.
US West Texas Intermediate crude fell $16, or 0.19%, to $83.11 after advancing over the past five sessions.
A senior market analyst at XS.com said 'Buyers continue to dominate in the short term, following the recovery over the past several sessions. However, the speed of the advance could also trigger periods of volatility and profit-taking around current levels.'
The market was trying to determine whether potential supply constraints from disruptions in the Middle East would be sufficient to offset a possible moderation in global consumption.
OPEC lowered its forecast for global oil demand growth in 2026 to 580,000 barrels per day, while the IEA said it expected a contraction of 1.6 million bpd in consumption this year.