Weaker Global Economic Outlook Major economic forecasters have cut their outlooks for world GDP growth in 2025 by roughly half a percentage point to around 2.8% and see a below-trend pace of about 3% annually for the remainder of the decade. OPEC+, led by Saudi Arabia, has decided to start easing oil production limits in May 2025, which is changing the expected path of oil supply from 2024 to 2030. The anticipated output increase from OPEC+ and the impact of higher tariffs on trade pushed oil prices to four-year lows in April and early May. A Decade Defined by U.S. Supply and Chinese Demand Over the past decade, oil market dynamics have been defined by the parallel growth in US oil supply and Chinese oil demand. From 2015 to 2024, the United States accounted for 90% of the increase in global supply, with the shale boom lifting US oil production by more than 8 mb/d to over 20 mb/d. At the same time, Chinese oil demand rose by nearly 6 mb/d, accounting for 60% of the global increase i...
Pakistan Investment Landscape | Markets | Securities