UBS predicts that the rise in oil demand will slow down.

On April 14, UBS said that it expects U.S. tariffs to drag down the global economy and lead to a slowdown in oil demand growth this year. The oil market remains tight, but tariffs, coupled with uncertainty about the U.S. government's next move, could weigh on economic growth. The bank cut its forecast for global oil demand growth this year by 400,000 b/d to 800,000 b/d and said it now expects the oversupply to rise to 400,000 b/d from 100,000 b/d previously. Brent crude is expected to average at $68 a barrel, compared to the previous forecast of $80 a barrel, but UBS said it could fall to a range of $40-$60 a barrel in the coming months if the trade war escalates further.