Oil benchmark Brent’s price structure shows over-supply concern – Reuters

Oil benchmark Brent’s price structure shows over-supply concern – Reuters

LONDON, June 28 (Reuters) - Oil traders' concerns have shifted from under-supply to over-supply, the futures contract structure of the global benchmark Brent showed on Wednesday, as expectations of weak economic growth outweigh Saudi Arabia's output cuts.

Saudi Arabia has said it will cut its output in July, deepening the impact of a broader deal among members of the Organization of the Petroleum Exporting Countries and its allies including Russia (OPEC+) to limit supply into 2024.

But economic growth in China, the world's second-biggest oil consumer, has not recovered as quickly as expected from the pandemic and central banks across the globe have hiked interest rates.