Archive · 31 Dec 2025
Oil Faces Worst Year Since 2020
Oil prices are going down a lot, and this year is looking like the worst year for oil since the pandemic in 2020.
There's too much oil, and people aren't using as much as before.
OPEC, which is a group of countries that produce oil, is meeting soon to talk about what to do.
Some people think they might stop increasing how much oil they sell.
There's also some fighting and tension in different countries that might affect oil, like in Yemen and Venezuela.
So, oil prices are going down, and everyone is watching to see what happens next.
Oil prices are on track for their worst annual loss since 2020, with WTI below $58 and Brent above $61.
Concerns about a surplus and slowing demand growth are driving the decline in oil prices.
OPEC is scheduled to meet on January 4 to discuss supply hikes, with delegates expecting a pause in further increases.
The American Petroleum Institute reported a 1.7 million barrel increase in crude inventories last week.
Geopolitical tensions, including the UAE's withdrawal from Yemen and US actions against Venezuela, are also affecting market sentiment.
- Who
- OPEC, US traders, International Energy Agency, American Petroleum Institute, UAE, Saudi Arabia, Venezuela, US
- What
- Oil prices are experiencing their worst annual loss since 2020 due to a surplus and slowing demand
- When
- The decline is ongoing, with a focus on the upcoming OPEC meeting on January 4
- Where
- Global oil markets, with specific mentions of the US, OPEC countries, and Venezuela
- Why
- Concerns about a surplus and slowing demand growth are undermining oil prices
- Current WTI Price
- Below $58 per barrel
- Yearly Decline
- Almost 20%
- Brent Price for March
- Above $61 per barrel
- OPEC Meeting Date
- January 4
- API Inventory Increase
- 1.7 million barrels
