LONDON (Reuters) - Oil prices will remain under pressure in 2020 as growth concerns weigh on demand and support an oversupply of crude, a poll showed on Monday ahead of production policy talks between OPEC and its allies this week.
The survey of 42 economists and analysts expected Brent crude to average $ 62.5 a barrel next year, little changed from last month's forecast of $ 62.38, which was the lowest for 2020 in nearly two years.
Since the beginning of the year, the benchmark crude price has averaged around $ 64 a barrel.
"There is simply too much oil on the market," said Frank Schalenberg, analyst at LPW.
This month, the International Energy Agency said the Organization of the Petroleum Exporting Countries (OPEC) and its allies would face fierce competition in 2020, expecting an increase in non-OPEC supply growth next year.
Analysts estimated demand growth between 800,000 and 1.4 million barrels per day next year. While most respondents said OPEC and its allies are likely to keep production cuts, they do not expect deeper cuts.
Brent prices are under pressure on concerns about a slowdown in global growth, exacerbated by the US-China trade dispute. Prices have fallen about 12% from their nearly four-month peak in September.
The 2020 forecast for WTI crude rose to $ 57.3 a barrel from $ 56.98 in October.
Analysts said that while US production will remain high, overall shale oil production may lose some momentum.