Via a note from Morgan Stanley, analysts at the firm expect oil demand to grow at a rate above its historical trend this year.
2024 is arguably the first ‘normal’ year in a while in which oil demand is mostly reflecting slower-moving drivers, such as economic growth, population expansion, government policies and technological changeWhat we are finding is this: not only is oil demand continuing to grow, but it is doing so at a rate above the historical trend rate. Given the focus on ‘peak oil demand’ in recent years, this is actually somewhat of a surprise.
In April Morgan Stanley cranked up their price forecasts:
ICYMI – Morgan Stanley raised its Brent crude oil price forecast as high as $94 (from $90)
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Oil has dribbled lower in opening trade for the new week:
This article was written by Eamonn Sheridan at www.forexlive.com.