UBS lowers its 2025 Brent oil price expectations as demand slows down rise

On November 14, UBS lowered its forecast for Brent crude oil prices next year to $80 per barrel due to the possibility of weaker demand, from $87 per barrel in March and June and $85 per barrel in September. UBS now expects oil demand to rise at 1.2 million b/d this year and next, compared with previous estimates of 1.5 million b/d and 1.3 million b/d, respectively, due to weak consumption. However, the bank said oil market watchers were overly pessimistic about their expectations for 2025. Strategist Giovanni Staunovo said: "At the beginning of the year, supply rise forecasts were also raised, but in the following months, these forecasts declined. "We think that could happen next year as well, especially since OPEC+ is unlikely to cancel production cuts if the market can't digest it."