Fitch Solutions Macro Research (FSMR) analysts have further cut their Brent oil price forecasts, a new report from the company has revealed.

The analysts now expect Brent to average $64 per barrel this year, before dropping to averages of $62 per barrel in 2020 and $58 per barrel in 2021. Brent is then expected to climb to an average of $59 per barrel in 2022 and $61 per barrel in 2023, according to the report.

“The downward adjustment reflects a looser picture on the demand side,” FSMR analysts stated in the report.

“Oil prices faced renewed weakness in August, as trade relations between the U.S. and China continued to deteriorate sharply,” the analysts added.

“This new escalation in tensions threatens further damage to global trade and economic growth and, consequently, the demand for oil,” the analysts continued.

The Bloomberg Consensus, which was highlighted in the report, expects Brent to average $65.5 per barrel in 2019, $64.4 per barrel in 2020, $65.5 per barrel in 2021, $68 per barrel in 2022 and $68.3 per barrel in 2023.

Last month, FSMR analysts expected prices to average $67 per barrel this year, $65 per barrel in 2020 and $61 per barrel in 2021. This compares to FSMR’s July forecasts of $70 per barrel in 2019, $76 per barrel in 2020 and $80 per barrel in 2021.

Back in May, analysts at FSMR saw the price of Brent averaging $73 per barrel this year. In March the analysts lowered their average annual price forecast for Brent for 2019 from $75 per barrel to $73 per barrel.

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