Oil prices steady after hitting two-week lows

November 06, 2025 (MLN): Oil prices were steady in early trading on Thursday, following a sharp drop to two-week lows in the previous session, as concerns over slowing global demand and rising crude inventories continued to weigh on the market.

Brent crude futures went up by $0.27, or 0.43%, to $63.79 per barrel.

West Texas Intermediate (WTI) crude futures decreased by $0.24, or 0.40%, to $59.84 per barrel by [11:00 am] PST.

According to a client note from J.P. Morgan, global oil demand has increased by 850,000 barrels per day (bpd) so far this year through November 4 slightly below the bank’s earlier forecast of 900,000 bpd growth.

The note also highlighted that “high-frequency indicators suggest that U.S. oil consumption remains subdued,” citing weak travel activity and declining container shipments.

Prices came under additional pressure after the U.S. Energy Information Administration (EIA) reported a larger-than-expected rise in crude inventories. U.S. crude stockpiles surged by 5.2m barrels to 421.2m barrels last week, far exceeding market expectations for a modest 603,000 barrel increase.

Analysts at Capital Economics predicted further downside for oil prices, saying, “We expect downward pressure on crude to persist, aligning with our below-consensus forecast of $60 per barrel by end-2025 and $50 per barrel by end-2026.”

Global oil prices also ended October lower for the third consecutive month, as fears of oversupply intensified. The OPEC+ alliance ramped up production, while output from major non-OPEC producers continued to rise, adding to market imbalance and dampening investor sentiment.

Copyright Mettis Link News