HK Stock Market Move | Oil stocks collectively fell. Institutions say there is a short-term risk of falling oil prices, and the market is worried about oversupply of oil this year.

Oil stocks collectively declined. As of the time of writing, CNOOC (00883) fell by 3.06% to HK$19; KUNLUN ENERGY (00135) fell by 1.98% to HK$7.43; PetroChina (00857) fell by 1.77% to HK$6.12; and China Oilfield Services (02883) fell by 1.07% to HK$7.38. On the news front, the United States recently imposed a new round of sanctions on Russian oil. EB SECURITIES pointed out that the sanctions have raised concerns in the market about global oil supply and pushed international oil prices higher rapidly. However, considering that the market has already fully priced in this factor, along with the ceasefire agreement reached between Israel and Palestine, the situation in the Middle East may cool down, and there is a short-term risk of oil prices falling. Furthermore, OPEC predicted in its first detailed assessment for 2026 that under the impetus of India and China, oil demand will continue to increase steadily. It is worth noting that previously, OPEC had lowered its demand growth forecast for 2024 six times, with a reduction of 47%. Morgan Stanley, Citigroup, and other groups predict that even if OPEC+ cancels its production increase plan, there will still be an oversupply of oil globally this year.