Last week, President Joe Biden announced the sale of as much as 15 million barrels out of the U.S. strategic petroleum reserve (SPR) to address the widespread disruption caused in the oil market by the geopolitical situation in eastern Europe.
Even if this move does not lower energy prices, a recession might. A recession might lower the oil demand, creating downward pressure on prices. The United Kingdom-based bank Barclays PLC (BCS) has reportedly slashed its previous Brent crude forecast by $3 per barrel for 2022 and by $5 a barrel for 2023, citing slower demand growth.
