2025-12-31 00:01:26

Crude's taking a beating. WTI's hovering around $58—down roughly 20% and tracking its worst year since 2020. The culprit? Simple supply math. Global oil inventories keep climbing while demand keeps disappointing.

OPEC+ is meeting January 4th and most expect them to hold the line on output increases. Smart move, honestly. Raising production into a glut just accelerates the downside. But here's the thing—even if they pump the brakes on new hikes, the surplus is already baked in. Rising storage levels mean the market's swimming in excess barrels.

Looking ahead to 2026, expect this pressure to persist. Weak demand fundamentals aren't reversing anytime soon, and inventory overhang typically dictates price direction for quarters out. The structural imbalance suggests crude stays rangebound and depressed unless demand suddenly resurges—unlikely given current macro headwinds.

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RugPullAlertBot

· 6h ago

With oil prices dropping like this, inventories piling up, and demand still weak... Where can this structural imbalance be fixed by OPEC+ meetings?

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CryptoWageSlave

· 6h ago

Oil prices are being hammered like this... inventories piling up, but demand hasn't kept up. No wonder. That bunch of OPEC people are smart for once; it would be really absurd to increase production at this point. In 2026, we’ll still have to suffer; structural oversupply isn't something that can be changed overnight.

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MelonField

· 6h ago

Oil prices are really suffering this time, still pushing down at 58 dollars. --- Will those OPEC guys really hold back... I find it hard to believe. --- Oversupply can't be alleviated in the short term. --- We'll still be stuck in 2026 unless demand suddenly comes back to life... Dream on. --- With so much inventory piling up, oil prices can't avoid dropping in the next few quarters. --- Talking about these is pointless; they will fall if they are going to fall. --- Macroeconomic pressures are in place, making rebounds even more difficult.

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ShortingEnthusiast

· 6h ago

Oil prices have dropped quite sharply this time, and 58 yuan is really hard to look at. OPEC's meeting can't save it either; with such a huge inventory buildup, no one has a solution. Anyway, I think they will continue to suppress until 2026, and the opportunity to short has arrived.

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ConsensusDissenter

· 6h ago

A barrel costs 58 yuan, and this market is truly incredible... Inventory piled up like mountains, but demand is weak. No wonder prices are falling. --- OPEC has become smart; continuing to increase production is suicide, but the inventory has long exceeded the limit, and there's no saving this situation. --- Are we still going to suppress prices until 2026? Unless the world suddenly starts burning oil like crazy, crude oil will stay cold. --- The oversupply problem is too deep; production cuts are useless. It's a structural issue, brother. --- The current problem isn't whether OPEC cuts production or not, but that no one is buying, haha. --- Inventory is increasing, and prices are dropping; no one can stop this logic. --- Basically, it's the global economic slowdown, and crude oil is following suit. --- Oil at 58 yuan still has to fall? There's really no bottom. --- Once inventory exceeds the limit, there's no hope of recovery for several quarters. Just accept it.

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GasFeeCrybaby

· 6h ago

Oil prices have dropped quite sharply this time, with inventory piling up and demand falling short. No matter how OPEC+ holds back, they can't save it.

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