20.11.2015 - The fall of oil according to our forecast will continue in the near future
The price of oil has not increased despite the recent weakening of the dollar and continues to be under pressure a number of negative factors, the main ones are stable oversupply of oil on the market at the levels of 1.0-2.5 million barrels per day, an increase in US oil inventories for the eighths week in a row, reduction of spare capacity for the storage of oil. In addition, Iran declared its readiness to increase the volume of oil exports two times to 2 million barrels per day after the lifting of sanctions, which is expected in December-January period. The slowdown in the industry in China is an additional negative factor for oil prices. At a meeting of OPEC that will be held in Vienna on 4 December, we expect no change in the rhetoric of the cartel. Our medium-term outlook for Light Sweet remains negative and we expect a decline in prices to the levels of 40.00 and 38.00 in the near future.