Barclays Bearish On Oil Prices In 2018

Unplanned temporary outages such as the Forties Pipeline shutdown are currently supporting oil prices, but as we go into 2018 a lot of those temporary issues will go away and supply is going to exceed demand again and inventories will build, Michael Cohen, Head of Energy Markets Research at Barclays, told CNBC’s Squawk Box on Wednesday. Barclays expects WTI oil prices to revert to the mid-$50s by the summer of next year, Cohen said. Moving to the end of 2018, oil prices in Q4 will be higher, according to the Barclays expert. At 12:48 pm EST on Wednesday, WTI Crude was up 0.64 percent at $57.93 . Still, the issue in the oil market next year will be that U.S. oil production continues to move higher, and EIA and Barclays forecasts continue to expect about 1 million bpd to1.2 million bpd of more liquids supply out of the US […]

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