Oil stocks fall, tracking lower prices on surplus outlook
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The news: Oil producers were among the biggest losers on the ASX 200 as oil prices fell amid expectations of increasing oversupply.
The numbers: At 2:25pm AEST, Woodside shares slipped 2.8% to $24.36 while Santos shares had fallen 2.1% to $7.60.
Smaller oil producers Karoon Energy (-3.7%) and Beach Energy (-3.1%) had also slipped. Oil refiner Viva Energy (-2.3%) also fell.
The West Texas Intermediate index had slipped 0.82% to USD61.86 per barrel and the Brent Crude index had slipped 0.74% to USD65.88.
The context: The International Energy Agency warned on Thursday evening (AEST) that it expects oil supply to rise by 2.7 million barrels per day in 2025, up from the previously forecast 2.5 million.
This far outstrips the organisation’s demand growth forecast of 740,000 barrels per day, revised up by 60,000 compared to the previous forecast.
