World oil prices fall for second year in a row
Photo: Oil prices fell in 2024 (Getty Images)
Global oil prices fell by about 4% in 2024. On the last trading day of the year, December 31, Brent crude oil was around $74.5 per barrel, according to Bloomberg.
Since mid-October, crude oil prices have been stuck in a narrow range, causing the price of Brent crude to show its second consecutive annual drop, albeit much less than last year.
The price of benchmark US West Texas Intermediate (WTI) crude oil remained virtually unchanged at $71.5.
www.bloomberg.com
According to Bloomberg, the oil market will also face a global oversupply in 2025, making it difficult for the OPEC+ alliance led by Saudi Arabia to restore idle production. Some banks predict that crude oil prices will continue to fall over the next two years.
On the other hand, a potential outbreak of hostilities in the Middle East or Ukraine could provide short-term support for oil. Trump's national security adviser has promised to resume a campaign of maximum pressure on Iran, which reduced the country's crude oil exports during Trump's first term.
Oil prices fell by 10% in 2023 to $77.5 per barrel at the end of December last year. Oil fell in price after geopolitical problems, production cuts, and global measures to curb inflation caused sharp price fluctuations.
According to the National Bank of Ukraine, the average price of Brent crude oil fell by 17.2% to $82.6 per barrel in 2023. The NBU expects the price to fall by 0.7% to $82.0 in 2024, by 8.9% to $74.7 in 2025, and by 2.1% to $73.1 in 2026.
