DTN Oil Update
Crude Futures Continue Slide Amid IEA, OPEC Bearish Forecasts
TACOMA, Wash. (DTN) -- Oil futures settled lower on Tuesday after both the International Energy Agency and OPEC cut global oil demand growth forecasts, citing weakening macroeconomic conditions and rising trade tensions.
The IEA reduced its 2025 demand growth estimate by 300,000 barrels per day (bpd) to 730,000 bpd, attributing the revision to "escalating trade tensions" that have "negatively impacted the economic outlook."
Separately, OPEC's April oil market report, released Monday, trimmed its demand growth projections for this year and next by 150,000 bpd each, to 1.3 million bpd and 1.28 million bpd, respectively.
The front-month NYMEX WTI contract settled at $61.33 barrel (bbl), down $0.20 from the previous settle. ICE Brent for June delivery fell $0.20 to settle at $64.69 bbl.
May RBOB gasoline futures settled at $2.0244 gallon, up $0.0022. The front-month ULSD contract eased $0.0133 to settle at $2.0784 gallon.
The U.S. Dollar Index rose 0.563 points to settle at 99.960, against a basket of foreign currencies, which include the euro, Japanese Yen, Canadian dollar, among others.
Given ongoing growth in non-OPEC production and slower demand expectations, market participants remain focused on the planned OPEC+ production increase of 411,000 bpd in May.
The IEA and OPEC joined the U.S. Energy Information Administration in emphasizing a high degree of uncertainty in their outlooks due to unresolved trade disputes.
