Market dynamics point to USD70-75 oil prices into 2025

Significance OPEC+’s approach is crucial for oil prices and the budgets of the economies involved, and for global inflation and monetary policy. Tensions within OPEC, and between OPEC and non-OPEC members of OPEC+, would make it difficult for OPEC+ to deepen cuts or even sustain current levels. Impacts Even on optimistic demand forecasts, the market deficit is unlikely to support OPEC+ raising output by more than 500,000 b/d. Higher output would lower oil prices, helping to ease inflation, boost demand, and head off some of the US supply competition. Core OPEC members may push for prioritising market share rather than defending price levels that seem difficult to sustain.