Crude oil futures declined on Wednesday morning following the International Energy Agency’s (IEA) prediction of an oversupply in the market for the upcoming year.
As of 9:57 am on Wednesday, December Brent oil futures stood at $62.18, down 0.34 percent, while November crude oil futures on West Texas Intermediate (WTI) were priced at $58.56, a decrease of 0.24 percent. In the Multi Commodity Exchange (MCX), October crude oil futures were trading at ₹5,175, a drop of 1.11 percent from the previous close of ₹5,233. Similarly, November futures traded at ₹5,163, down 1.05 percent from ₹5,218.
The IEA’s October Oil Market Report indicated that global oil supply increased by 760,000 barrels per day month-on-month, reaching 108 million barrels per day in September, largely due to a 1 million barrels per day increase in OPEC+ production driven by West Asia.
The report projects that world oil supply will rise by 3 million barrels per day to 106.1 million barrels per day this year, with an additional increase of 2.4 million barrels per day anticipated next year. Non-OPEC+ countries are expected to contribute 1.6 million barrels per day this year and 1.2 million barrels per day next year, with the United States, Brazil, Canada, Guyana, and Argentina leading the gains. OPEC+ is forecasted to add 1.4 million barrels per day in 2025 and 1.2 million barrels per day in 2026 under the current production agreement.
On the demand side, global oil consumption grew by 750,000 barrels per day year-on-year in the third quarter of 2025, with petrochemical feedstocks driving recovery from a slower pace of 420,000 barrels per day in the second quarter. However, oil demand is expected to remain lackluster for the rest of 2025 and into 2026, with annual increases projected at about 700,000 barrels per day for both years, which is significantly below historical trends due to adverse macroeconomic conditions and a shift towards electrification in transportation.
In political developments, US President Donald Trump reiterated threats against China regarding trade restrictions, following his recent proposals to impose additional tariffs. Although he later softened his stance on a potential 100 percent tariff on China, he expressed concerns about China’s trade practices impacting US soybean farmers.
In commodity trading, October natural gas futures traded at ₹266 on MCX, declining 1.26 percent from the previous close of ₹269.40. On the National Commodities and Derivatives Exchange (NCDEX), October dhaniya contracts were priced at ₹7,752, down 0.82 percent from ₹7,816. October turmeric (farmer polished) futures were trading at ₹12,548, marking a decrease of 2.33 percent from the previous close of ₹12,848.
Published on October 15, 2025.
