Some comments by Goldman Sachs on the oil market - 16 January 2018
Earlier last month here, they released 2018 forecasts for Brent and WTI to average $62 and $57.50 per barrel, respectively.
But their recent comments today say that there are some concerns as upside risks for those forecasts are increasing; as they see that oil producers will respond to the rising price signal.
They also expect "deferred prices to decline from current levels as producer activity and 2019 hedging ramp up".
Brent is now trading just above $70, while WTI crude is at $64.51 today. Both are slightly lower on the day, but for the year we see prices have risen by 4.70% and 6.75% for Brent and WTI respectively.
