Royal Bank of Canada: Recent rise in oil prices has masked the weak fundamentals

Jinshi data news on January 16th, this year, Brent crude oil prices have pumped nearly 10%, but the Royal Bank of Canada believes that the oil price pump has masked the weakness of the oil market fundamentals. The soft macroeconomic background, the weak finished oil market, and the imminent problem of oversupply are worth noting. It is noteworthy that OPEC has always been unwilling to relax production reduction plans and has suspended production increase plans for the fourth quarter of 2024. The Royal Bank of Canada predicts that the average price of Brent crude oil this year will be $65.42 per barrel, lower than the previous forecast of $72.60 per barrel; the outlook for 2026 is also not optimistic, with the forecast for Brent crude oil prices lowered from $70.47 per barrel to $62.18 per barrel.