Oil sets sights on $50 – ZAWYA

Oil sets sights on $50 – ZAWYA

Oil sets sights on $50 | ZAWYA MENA Edition HomeMarketsCommoditiesArticleOil sets sights on $50 With current Opec+ production cuts about to expire by July end, all eyes will be on Opec+ schedule for coming months    Engineers looking at site in oil and gas refinery or Petrochemical factory during sunrise, industrial concept. Image used for illustrative purpose.Oil prices will rise faster in the rest of 2020 as well as over the next two years due to recovery in mobility demand, Opec+ holding back larger supply volumes than anticipated and a decline in US shale supply, say energy analysts."Global oil market fundamentals have shifted significantly since we last adjusted our oil price forecasts in March," said Karen Kostanian, research analyst at Bank of America Merrill Lynch. "We now lift our 2020 Brent price forecast to $43.7 a barrel (from the earlier $37). We also increase our 2020 average WTI crude oil price forecast from $32 to $39.7 per barrel," she said.BofA-ML increased its 2021 Brent price forecast to $50 per barrel, $7 above the forward, and 2022 forecast to $55 from $50 per barrel. "The tighter global oil supply and demand backdrop also lifts our WTI forecast to $47 and $50