Core Viewpoint - The oil prices are expected to rise due to geopolitical tensions and increased demand ahead of the Chinese New Year, despite a generally oversupplied market and a shift towards electric vehicles [2][3][8]. Price Trends - The next price adjustment window is on January 20, with expectations of an increase of approximately 75 yuan per ton, translating to a rise of about 0.06 yuan per liter [2][8]. - Since August of the previous year, there have been ten price adjustments, with six decreases and one increase, resulting in a cumulative drop of nearly 700 yuan per ton for gasoline [2][3]. Regional Price Variations - Gasoline prices vary significantly across regions, with 92-octane gasoline priced at 6.66 yuan per liter in Hunan and up to 7.82 yuan in Hainan [4][5][6]. - The price for 98-octane gasoline also shows considerable regional differences, with prices reaching 9.30 yuan in Hainan and as low as 7.72 yuan in Gansu [6][7]. Supply and Demand Dynamics - Global oil supply remains ample, with U.S. shale oil production exceeding 13.8 million barrels per day and OPEC not reducing output [3]. - The International Monetary Fund (IMF) forecasts global economic growth at 3.1% for the year, which is lower than the previous year, indicating a weaker demand outlook for oil [3]. Long-term Outlook - Analysts predict that the average international oil price may settle between $60 and $65 per barrel this year, which is lower than last year [3][8]. - The overall market is expected to remain oversupplied, with increasing competition from electric vehicles and policies aimed at reducing carbon emissions [8][12].

If you’ve been watching global headlines lately, it would be easy to assume oil prices would be sky-high: a major oil-reserve country mired in crisis, sanctions on perennial producers, regional conflicts simmering, and social unrest in several exporters. And yet Brent and WTI have been languishing around $60 a barrel, a level that, a decade ago, most analysts would have dismissed as impossible in such conditions What’s happening? At first glance, the logic of oil pricing should be straightforward: suppl ...