Gloomy outlook for oil price

July 26, 2016

The price of oil continued to fall again today as expectations surfaced on more drilling activites from the US as well as a general oversupply of petroleum products on the market.

WTI is currently trading at US$42.69c while Brent crude oil is sitting around US$44.76c.

"Supply continues to return from disruptions, refined products are severely oversupplied, crude demand is falling well short of product demand, and key product demand is decelerating," noted analysts from Morgan Stanley

Predicting more downside are analysts at JBC Energy who noted that there are more pessimists than optimists at the moment when it comes to the direction of the oil price and we may yet see some further falls,

"Inputs on the speculative side are certainly more bearish than bullish. Crude fundamentals could certainly be used to make a case that there is some more downside to prices yet to be flushed out." they said

Improved economic data out of America has raised expectations of an imminent rate hike from the US Federal Reserve which is also weighing on the oil price as a higher greenback tends to put pressure on dollar priced commodities as they become more expensive for holders of other currencies.

Publication source
FIBO Group information  FIBO Group reviews

February 17, 2017
Golds rally may falter
The gold price has racked up its 2nd straight day of gains today on the back of US dollar weakness and doubts over an interest rate hike next month from the US Federal Reserve...
February 16, 2017
Where is black gold heading?
The Euro is slowly going down and this is not brought on by the Eurozone situation. Instead, this is fueled by the U.S. Dollar. Yesterday, Janet Yellen gave a speech in the Senate Banking Committee emphasising the fact that it Is not quite right to use the wait-and-see stance regarding the interest rate hike...
February 14, 2017
Will France exit the euro?
The Euro has come under pressure late in the European session today, after analysts warned of the huge costs that France would face should they decide to ditch the European currency...

NPBFX Rating
Fort Financial Services Rating
 FXTM Rating
OctaFX Rating
Orbex Rating
FIBO Group Rating

TopOption Rating
Empire Option Rating
GTOptions Rating
Anyoption Rating
365BinaryOption Rating
99Binary Rating