The energy markets reacted briefly to the OPEC+ news of a delayed production returning to the market. We’ve been at the front of the line discussing how these cuts were going to be very difficult to bring back to the market. “Eight OPEC+ members will now extend their 2.2 million-barrel-per day voluntary production decline into the first quarter and will begin hiking production incrementally between April and September 2026. Several OPEC+ members will also be postponing the unwinding of a second 1.7-million-barrels-per-day cut until the end of 2026. This latter production decline was previously only set to last through 2025.”^[1] Every agency has pointed to bearish supply vs demand data in 2025 that result in sizeable builds across the board. When we look at early demand indications and economic data, it isn’t a stretch to see a lot of this year’s sluggishness carry well into next year. If anything, it will likely get worse through the first half of next year. Chinese stimulus will fall short just given the structural problems that exist throughout the country. The weak Chinese and U.S. economies will remain the biggest overhang as we head into next year.