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Oil Declines in a Risk Averse Market Environment

economic
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02/13/2026, 07:49 AM
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Oil Declines in a Risk Averse Market Environment
Oil prices moved toward recording their first consecutive weekly loss in 2026 as concerns over tensions with Iran eased and risk aversion strengthened across global markets. The International Energy Agency warned that the global market could face a surplus of about 3.7 million barrels per day in 2026, indicating that supply growth has outpaced demand. At the same time, slowing global demand growth and increased production following the easing of OPEC Plus restrictions have reinforced expectations of market saturation and added downward pressure on prices. Overall, reduced geopolitical risk, combined with surplus supply projections, has been the main factor weakening oil prices and keeping the market volatile.
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