The Organization of the Petroleum Exporting Countries slashed its forecasts for global economic growth and crude-oil demand, offering a justification for the cartel’s recent 2 million barrel-a-day supply cut that it said was part of ongoing efforts to balance oil markets.
In its closely watched monthly report on Wednesday, the oil-producers group lowered its global gross domestic product forecasts to 2.7% from 3.1% for 2022 and to 2.5% from 3.1% for 2023. It cited elevated inflation, rising interest rates and geopolitical tensions as factors that were weakening the global economy and would reduce demand for oil.
