Although oil prices were largely stable in Asian trading on Friday, prices were expected to fall for a second consecutive week, as market sentiment was driven more by persistent concerns about a global supply glut than by support from geopolitical supply risks.
With traders’ focus shifting to signals of weaker demand and excess supply, both major oil price benchmarks were projected to register losses of nearly 2.5% this week.
Expectations that global oil production will outpace demand until 2026, due to increased output from non-OPEC producers and sluggish consumption growth in key countries, have put pressure on the markets.
Recent data showing ample fuel and crude oil inventories in the United States and several regions of Asia have reinforced the view that the market remains adequately protected from supply disruptions.
