BRN hovers at $70 amid supply concerns

• BRN struggles around $70 per barrel after a 15% drop from mid-January
   
• Fears of a global trade war are dampening oil demand
   
• The IEA forecasts a supply surplus of 600,000 barrels per day in 2024
   
• US sanctions on Iranian oil briefly lifted prices but failed to sustain gains
   
• OPEC+ production increases and weak demand growth add to bearish market sentiment

Brent crude oil remains under pressure, hovering around $70 per barrel despite a slight recovery on Friday that could end a three-week losing streak.
 

The 15% drop from its mid-January peak reflects growing concerns over a global trade war’s impact on oil demand.
 

The International Energy Agency (IEA) forecasts a growing supply surplus, with production outpacing demand by 600,000 barrels per day this year.

While fresh US sanctions on Iranian oil and shipping briefly lifted prices, macroeconomic uncertainties continue to weigh on the market.

OPEC+ production increases and weaker-than-expected demand growth add to bearish sentiment.

With the IEA trimming its demand forecast, oil benchmarks are unlikely to see a sustained rebound in the near term.