Morgan Stanley's Forecast for Oil Market Surplus in 2024
Oil Market Outlook
Morgan Stanley has provided insights regarding the oil market, indicating a potential surplus in 2024. The bank's analysis highlights that while the market is currently experiencing tightness, conditions are expected to change.
Short-Term Tightness
The tightness in the oil market is projected to hold for most of the third quarter. This is driven by seasonal demand factors that are influencing the market dynamics.
Return to Equilibrium
By the fourth quarter, Morgan Stanley predicts that equilibrium will return. Key factors contributing to this shift include:
- Seasonal demand tailwinds fading
- Increased supply from both OPEC and non-OPEC countries
This forecast suggests a critical adjustment for investors as supply and demand pressures evolve.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.