After the OPEC+ deal was extended not so long ago, several investment banks changed their predictions for the global oil prices in 2018. Bloomberg tried to compile those prediction into a single article.
In particular, when trying to describe the current state of the global oil market, Bloomberg experts say that the market may well end 2017 with a rally. If that’s the case, this is going to be the second consecutive bullish year for the global market of crude oil.
Goldman Sachs is reported to have come up with the most optimistic forecast for the oil market. Given the fact that the OPEC+ deal participants have been very good at complying with the agreement, they experts decided to upgrade their Brent oil forecast by 7% up to 62 dollars per barrel.
As for JP Morgan Chase, the bank’s experts have been bullish on crude oil as well. They have upgraded their Brent oil forecast from 58 dollars per barrel up to 60 dollars per barrel.
UBS is also on the bulls’ team. They have upgraded their Brent oil forecast from 55 dollars per barrel up to 60 dollars per barrel. It’s interesting to note that even though the OPEC+ deal was extended for the entire 2018, they are going to start to close down the deal unofficially at some point in the 3rd quarter of the year.
Credit Suisse experts have upgraded their Brent oil forecast from 53 dollars per barrel up to 60 dollars per barrel.
At the same time, Citigroup experts don’t deny possible changes in the balance between the oil supply and demand. They are convinced that the market is going to be balanced in the 3rd quarter of 2018. With that being said, their forecast has been unchanged since July 2017 – 60 dollars per barrel. The same holds true for Barclays. Their forecast has been unchanged since July 2017 – 55 dollars per barrel.
At the same time, Masterforex-V Academy reports that Brent oil has gone up in value by 12% since the beginning of 2017.
