During the year 2018，the rapid growth of the global economy and oil demand，OPEC+production reduction agreement，inventory reductioncontributed to the price increase. The average price of Brent crude oil was $71/barrel，up 31% from the year 2017. China-US trade friction，US withdrawal from the Iran nuclear agreement and Venezuela’s political and economic crisis exacerbated oil price fluctuations. In 2018，the global oil supply and demand situation changed significantly，from insufficient supply last year （with an average daily supply gap of 600000 barrels） to insufficient demand （with an average daily supply surplus of 800000 barrels）. The increase in crude oil demand was mainly driven by Asia and North America，while the increase in supply came mainly from North America and CIS countries. In 2018，the world oil market price experienced a rapid growth before falling. The average price of Brent crude oil increased by 31% compared with the year 2017. In October 2018，the monthly average price of Brent oil reached$80/barrel. As economic growth slowdown，China’s oil demand increased by 440，000 barrels per day，a decrease of 160，000 barrels per day compared with the year 2017. China’s oil demand accounted for about 34% of global oil demand. In 2019，despite the slowdown in the global economy growth，demand in the world oil market will remain strong. China’s oil demand growth in 2019 is expected to be the same as in 2018，while India’s demand growth will maintain strong in 2019. Petrochemical and aviation fuel will be the main aspects driving global oil demand growth. In 2019，oil prices are still dominated by the supply side. If the OPEC plus can reach a balance among the slowdown in oil demand growth，the decline in Iranian supply due to US sanctions，and the speed of US supply growth，the average price of crude oil may remain at $65/barrel；otherwise，the average price of crude oil will fall to $50/barrel.