In its 2024 global oil outlook released this week, the Organization of the Petroleum Exporting Countries is forecasting growth in oil demand over a longer period of time than other agencies, such as BP, are expecting.
OPEC raised its forecasts for world oil demand for the medium and long term in an annual outlook, citing growth led by India, Africa and the Middle East, as well as a slower shift to electric vehicles and cleaner fuels.
“Future energy demand is found in the developing world due to growing populations, middle class, and urbanization,” stated OPEC Secretary General Haitham Al Ghais during the report's launch.
A longer period of rising consumption would be an encouragement to OPEC, with its 12 members dependent on oil revenues. In support of its view, OPEC said it expects more resistance to “ambitious” clean energy targets, and cited plans by several global automakers to scale back electrification targets.
“Over the past year, we have become increasingly aware that the world will only be able to commission new energy sources on a large scale when they are really ready for it.”
OPEC expects global oil demand to reach 118.9 million barrels per day (b/d) by 2045, about 2.9 million b/d higher than expected in last year's report. The report extended its timeline to 2050 and expects demand to reach 120.1 million b/d by that point.
The final recommendation is to buy Brent oil on a long-term perspective.
Profit from buying Brent is to be taken at the level of 85.0. The losses are fixed at the level of 65.0.
The volume of the opened position should be defined in such a way that the value of the possible loss, fixed with the help of a protective stop order, amounts to no more than 2% of the size of your deposit funds.
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