Tuesday, February 23, 2016

$85 a barrel oil by end of 2016?

"Most budgets for the OPEC countries can't be maintained at this level," he continued. "Even the Saudi budget is built on almost $100 price for breakeven, which is why they've been dipping into their reserves." So when will the reversal begin?
Rothman told CNBC's "Worldwide Exchange" that $85 per barrel crude is just a few months away. "We'll actually start to see it when we get past the winter. We'll see inventories being drawn down, which most people you're going to talk to aren't expecting," Rothman added.
"That's really the bottom line of where supply and demand meet," he said. "I expect that the sentiment is [then] going to shift."

Please click here for the full article.

No comments:

Post a Comment