According to the Wisdom Financial APP, petroleum stocks rebounded in early trading. As of the time of publication, PetroChina (00857) rose by 1.8% to HK$5.65; CNOOC (00883) rose by 3.05% to HK$17.58; China Oilfield Services (02883) rose by 3.93% to HK$7.14; Sinopec (00386) rose by 1.7% to HK$4.19.

On the news front, last week, Goldman Sachs stated in a report that despite supply shortages and geopolitical uncertainties in 2024, the average price of Brent crude oil is expected to be around $80 per barrel this year, with an anticipated oversupply of 0.4 million barrels per day expected in 2025. Goldman Sachs fundamentally predicts that the price of Brent crude oil will remain in the range of $70 to $85, with high idle production capacity limiting price increases, and the price elasticity of OPEC and shale oil supplies restricting price decreases.

Goldman Sachs still believes that in 2025, the average price of Brent crude oil will be $76 per barrel; by 2026, due to an oversupply of 0.9 million barrels per day, the average price of Brent crude oil will be $71 per barrel. The bank predicts that the continuous increase in total energy demand along with GDP growth, as well as the ongoing challenges faced by aviation travel and the decarbonization of petrochemical products, will continue to drive oil demand growth over the next decade.

Ping An Securities pointed out that there is still significant pressure on global oil supply, with the incremental increase in global crude oil supply expected to surpass demand in 2025, leading to some accumulation. The turmoil in geopolitical situations further highlights the importance of energy independence, with renewed prospects for the development expenditure of traditional energy sources, increased efforts in oil and gas exploration, clear objectives for increased reserves and production, a significant potential for expanding overseas markets, and top-tier oilfield service enterprises with technology at the forefront at an international level still having room for value discovery.