23.03.2016 - The fall of oil price may resume
Representatives of Libya declared intention to increase oil production to a level that is now available and will not join the initiative to freeze the volumes of oil production at the level of January. It is worth noting that at this point, oil production in the country is about 0.4 million barrels per day, which is 4 times less than before the outbreak of civil war in 2011. We recall that on 17 April in Doha will be a meeting of representatives of about 15 countries that are major oil producers. Despite this, we expect continued growth in supply from Iran, which compensates for the decline in US production. After a strong increase in the price of oil, at the moment there is a possibility of correction of futures for Light Sweet to the levels of 37.30, 34.00 and 31.00 dollars per barrel. Our medium-term outlook for oil remains negative.