IMF Assumes 'Full Reversal' Of Oil Output Cuts At Start Of 2025; Sees OPEC+ Starting To Lift Oil Output Gradually From July
Portfolio Pulse from Benzinga Newsdesk
The IMF projects a 'Full Reversal' of oil output cuts at the beginning of 2025, anticipating that OPEC+ will start to gradually increase oil production from July onwards, according to Bloomberg.
April 19, 2024 | 1:35 pm
News sentiment analysis
Sort by:
Ascending
NEUTRAL IMPACT
The United States Oil Fund (USO) may experience volatility as the IMF predicts a gradual increase in oil production by OPEC+, leading to a 'Full Reversal' of output cuts by 2025.
The United States Oil Fund (USO) tracks the daily price movements of West Texas Intermediate light, sweet crude oil. The IMF's projection of a 'Full Reversal' in oil output cuts and the gradual increase in production by OPEC+ starting July could lead to fluctuations in oil prices. These changes are likely to impact USO's performance, given its direct correlation with oil prices. However, the exact direction of the impact (positive or negative) is uncertain due to potential future market conditions and reactions, hence the neutral score.
CONFIDENCE 80
IMPORTANCE 70
RELEVANCE 75