Morgan Stanley Cuts Brent Crude Oil Price Forecasts for 2023-‘24

SEATTLE (Oil Monster): Morgan Stanley- the New York City-headquartered leading U.S. multinational investment management and financial services company cut its price forecast for 2023-’24 Brent crude oil. The cut in prices is mainly on account of higher-than expected Russian exports, it said.

RELATED NEWS:

Brent Crude Oil Price Could Hit $140 This Year

EIA Lowered Oil Price Forecasts for 2022 and 2023

According to a research note sent to its clients, the Brent oil is expected to trade in the range between $90 and $100 a barrel during the latter half of the current year. This is down from the earlier estimates of $100-$110. In 2024, the prices are likely to trade at around $95 per barrel, as against the previous forecast of $110 per barrel.

It must be noted that Morgan Stanley had predicted a reduction of 1.0 million barrels per day (bpd) in Russia’s overseas sales of crude oil and related products during the current year. It now sees the sales to decline only by 400,000 barrels a day in 2023.

Meantime, it expects global oil demand to grow at a more rapid pace by .9m b/d instead of 1.4m b/d, mainly on account of reopening of Chinese market and projected healthy economic growth in the country.

Morgan Stanley declared bullish outlook on India’s energy sector, as it sees the energy producers in the country boosting output, while their peers across the world are cutting back production.