18.11.2015 - The EIA Chops 600,000 Barrels From Its Future Non-OPEC Oil Production Estimates
Last week oil prices plunged by more than 20%. It is hard to know exactly why prices do what they do but the common explanation for the plummet that we saw in the media was that the oil glut continues to grow. We agree that there is a lot of oil sitting in storage around the globe. We don't however believe that the glut is worsening. In fact our belief is that the market is missing how close supply and demand are to being in balance right now. With eyes on the plummeting price of oil last week one piece of rather bullish news that did not get much attention came from the EIA in its November Short Term Energy Outlook (STEO)...............................................Full Article: Source
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