Goldman Sachs Predicting $45 Oil By October

By James Stafford
OilPrice.com
Tue, 19 May 2015

Could oil prices be in for yet another decline?

Oil prices have rebounded with surprising speed in recent weeks, with WTI prices bouncing by more than a third from March lows.

There are good reasons for this. Rig counts are down by nearly 1,000 (or nearly 60 percent) since hitting a high in October 2014. Spending on some of the world’s largest projects has been cut by a combined $129 billion, a figure that could balloon to $200 billion by 2016. The spending and drilling contraction is finally leading to some small production declines.

The downturn in activity sparked optimistic sentiment among oil traders that the markets have adjusted, and could be on their way back up.

The Rest…HERE

This entry was posted on Wednesday, May 20th, 2015 at 10:53 am and is filed under Economics, Oil. You can follow any responses to this entry through the RSS 2.0 feed.