Oil prices are likely to keep falling, the head of the International Energy Agency has said, as producers continue to pump volumes that exceed global demand. “Given the current weak demand and lots of oil coming from the non-Opec countries, mainly from America and others, we may well see downward pressure on the price,” said Fatih Birol.

The price of crude oil has been under pressure recently. Hussein Allidina, Managing Director and Head of Commodities at TD Asset Management, shares why more price declines may be likely.

OPEC revised down its oil demand growth forecast for 2024 and 2025 due to falling prices and weak global demand. Brent crude is trading at $71 per barrel, and WTI at $68, as oil prices struggle to recover from last week’s drop.

The Organization of the Petroleum Exporting Countries on Tuesday lowered its growth forecast for oil demand. The update comes a week after the cartel sought to support prices by delaying planned increases to crude output.