According to the CITIC Construction Investment Research Report, the weakening of oil prices since mid-April was mainly affected by the US economy falling short of expectations. During the same period, Citigroup's US Economic Accident Index hit a new low in the past year. Since mid-May, US economic data has continued to fall short of expectations, but oil prices are trading sideways, indicating that demand-side shocks may be basic pricing, and supply is the core factor in the mid-term trend of oil prices. Looking ahead, the peak summer travel season in the US supports crude oil demand. OPEC+ member states, led by Saudi Arabia and Russia, agreed to extend the voluntary production reduction agreement by 2.2 million b/d until the end of June this year. Considering the recent drop in oil prices, OPEC+ may discuss continuing to delay the production reduction agreement at the June meeting. In summary, the crude oil supply and demand gap may widen again in the future, and oil prices are expected to stop falling and pick up.