Goldman Sachs
Goldman dramatically cuts Brent forecast in Q2/3 to $30 “In fact, the prognosis for the oil market is even more dire than in November 2014, when such a price war last started, as it comes to a head with the significant collapse in oil demand due to the coronavirus.”
“This completely changes the outlook for the oil and gas markets, in our view, and brings back the playbook of the New Oil Order, with low cost producers increasing supply from their spare capacity to force higher cost producers to reduce output.”
“As such, we base case for now that no such deal occurs, with any response only likely at sharply lower prices anyways.”
Goldman dramatically cuts Brent forecast in Q2/3 to $30 “In fact, the prognosis for the oil market is even more dire than in November 2014, when such a price war last started, as it comes to a head with the significant collapse in oil demand due to the coronavirus.”
“This completely changes the outlook for the oil and gas markets, in our view, and brings back the playbook of the New Oil Order, with low cost producers increasing supply from their spare capacity to force higher cost producers to reduce output.”
“As such, we base case for now that no such deal occurs, with any response only likely at sharply lower prices anyways.”
Rule No.1: Never lose money. Rule No.2: Market is always right !
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