Oil futures edged lower Thursday, struggling for support a day after the Federal Reserve signaled it would go much slower in cutting interest rates next year.
Bearish crude oil outlook: Fed's rate stance and rising bond yields strengthen the dollar, pressuring demand and key technical support at $68.69.
Oil prices look set to end the year lower as demand weakness, particularly from China, prevails — but 2025 may bring an even steeper loss, with the possibility of a drop below $50 a barrel if the market sees a “perfect storm” of factors, including sharp economic declines in China and Europe.
OPEC+ cuts aim to stabilize 2025 markets amid weak global demand and uncertain economic growth projections.
Oil prices fell in early trading on Thursday after the U.S. Federal Reserve signalled that it would slow the pace of interest rate cuts in 2025, potentially impacting fuel demand.
Oil dropped in early Asian trade amid weak sentiment. Crude oil will likely see some volatility amid uncertainty surrounding U.S. political developments and new European sanctions targeting Russian oil exports, Tickmill said.
U.S. crude-oil inventories fell for a fourth consecutive week, but the decline was smaller than analysts had forecast.
The crude oil market continues to see a bit of buying in the early hours of Wednesday, as we continue to see a lot of consolidation, as the market is trying to find some kind of floor for a move early next year. Also, the Wednesday session will have the
Oil futures rose modestly early Wednesday, attempting to bounce after back-to-back losses as traders awaited an expected rate cut by the Federal Reserve and official data on crude and product inventories.
OPEC+ is wary of a renewed rise in U.S. oil output when Donald Trumpreturns to the White House, delegates from the group said, because more U.S. oil would further erode OPEC+ market share and hamper the producer group's efforts to support prices.
Oil prices hover in a tight range as sanctions on Russia and a potential Fed rate cut fuel mixed market signals. Natural gas remains under bearish pressure.
Oil prices traded in a narrow range early on Wednesday as investors remained cautious ahead of an expected interest rate cut by the U.S. Federal Reserve.