Oil Supply Squeeze Looms in 2023 on Cuts to US Output Forecast and OPEC Limits
• US oil production outlook for 2023 has been cut in half to just 500,000 additional barrels per day • Supply is getting much tighter, with other major producers like Guyana also unable to match 2022 growth • Geopolitical risks remain in the Middle East which could disrupt supply • OPEC+ extended production cuts through June, keeping supply limited • Demand continues to increase while supply tightens, potentially leading to a shortage and higher prices around $85 per barrel