Oil prices have been volatile in 2023, swinging between $70 and $100 per barrel. The main factors driving oil prices include supply, demand, and the US dollar. Analysts are divided on the outlook for oil prices in the remainder of 2023. Some analysts believe that prices could rise to $100 per barrel or more, while others believe that prices could fall to $70 per barrel or less
Oil prices have been volatile in 2023, swinging between $70 and $100 per barrel. The main factors driving oil prices include:
- Supply: The war in Ukraine has disrupted global oil supplies, but the impact has been offset by increased production from other countries, such as Saudi Arabia and the United States.
- Demand: Demand for oil has been weak in 2023 due to a slowing global economy and China’s COVID-19 lockdowns.
- The US dollar: The US dollar has strengthened against other currencies in 2023, making oil more expensive for buyers who use other currencies.
As of September 17, 2023, Brent crude oil is trading at around $93 per barrel, and US West Texas Intermediate (WTI) crude oil is trading at around $90 per barrel.
Analysts are divided on the outlook for oil prices in the remainder of 2023. Some analysts believe that prices could rise to $100 per barrel or more if there is a major disruption to supply, such as a further escalation of the war in Ukraine. Other analysts believe that prices could fall to $70 per barrel or less if the global economy weakens further or if China’s COVID-19 lockdowns continue.
Overall, the outlook for oil prices in 2023 is uncertain and will depend on a number of factors, including the war in Ukraine, the global economy, and China’s COVID-19 policy.
