Analysts are holding their oil price forecasts largely unchanged as rising OPEC+ output targets and lacklustre demand offset geopolitical risks to supply, a Reuters poll showed on Friday.

Oil prices have fallen sharply this year as the global supply has remained strong and demand has been slow to grow.

Indian refiners are shunning Russian oil due to fresh U.S. sanctions, leading to a pivot towards costlier alternatives and potential shifts in global oil dynamics.

Discover the key factors driving oil prices and their impact on global economies, from consumer budgets to corporate earnings and national GDP.

The organization said the implied market surplus of 2.7 million b/d in the third quarter of this year, the largest since 2020, underscores the persistence of the oversupplied market. While stockpiling by China and European countries has absorbed part of the glut, supply continues to outpace demand, according to the report.

WTI crude oil slides to $56.8 amid record seaborne storage of 1.24 billion barrels. Click here for more information on WTI Crude.

Oil prices spiked Thursday after the U.S. announced massive new sanctions on Russia’s oil industry in an attempt to get Russian President Vladimir Putin to the negotiating table and end Moscow’s brutal war on Ukraine.