A recent oil price slump below $60 per barrel, triggered by the escalating trade war between the US and China, has been met with skepticism by Gunvor Group’s head of research. According to him, the drop was likely an overreaction, as it priced in zero demand growth for this year. The Organization of the Petroleum Exporting Countries (OPEC) also surprised markets with a larger-than-expected production increase, contributing to the downturn. Despite falling as low as $58.40 on Wednesday, brent futures remain nearly 25% below their 2025 high, highlighting ongoing market uncertainty and volatility.
Source: https://www.bloomberg.com/news/articles/2025-04-14/oil-at-60-priced-in-no-demand-growth-this-year-gunvor-says