BAKU, Azerbaijan, December 6. Brent crude oil prices have remained relatively stable over the past week, trading within a narrow range of $71.8 to $73.4 per barrel at market close, according to a report by BMI, a Fitch Solutions company, Trend reports.
The ongoing ceasefire between Hezbollah and Israel, effective since November 27, continues to hold despite sporadic violations. However, the market faces downward pressure from concerns over potential new tariff measures by U.S. President-elect Donald Trump.
Investor caution prevailed ahead of the OPEC+ meeting on December 5. As anticipated, the group decided to extend its current production cuts for another three months, delaying the scheduled output increase to April 2025. BMI notes that this decision is likely to provide a price floor, but substantial gains in Brent are unlikely given the anticipated global market oversupply in 2025.
The report forecasts that while the extended cuts will reduce the supply glut, growth in oil supply is expected to outpace demand by approximately 600,000 barrels per day. BMI projects Brent crude to average $76 per barrel in 2025, slightly down from $80 per barrel in 2024, yet above the current spot price of $72.5 per barrel.
The outlook underscores the challenges the oil market faces, with supply dynamics and geopolitical tensions playing key roles in shaping price trajectories.
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