• 3 minutes Oil Price Could Fall To $30 If Global Deal Not Extended
  • 8 minutes Why Is America (Texas) Burning Millions of Dollars Per Day Of Natural Gas?
  • 11 minutes Is $60/Bbl WTI still considered a break even for Shale Oil
  • 15 minutes CNN:America's oil boom will break more records this year. OPEC is stuck in retreat
  • 18 mins The Pope: "Climate change ... doomsday predictions can no longer be met with irony or disdain."
  • 7 hours Hormuz and surrounding waters: Energy Threats to the World: Oil, LNG, shipping markets digest new risks after Strait of Hormuz attack
  • 11 hours As Iran Nuclear Deal Flounders, France Turns To Saudi For Oil
  • 7 hours The Magic and Wonders of US Shale Supply: Keeping energy price shock minimised: US oil supply keeping lid on prices despite global risks: IEA chief
  • 16 hours Middle East on brink: Oil tankers attacked off Oman
  • 7 hours Russia removes special military forces from Venezuela . . . . Maduro gone by September ? . . . Oil starts to flow ? Think so . .
  • 10 hours Never Knew Gasoline Prices were this important!
  • 9 hours (Un)expectedly: UK Court Sets Assange U.S. Extradition Hearing For February 2020
  • 1 day Emmissions up, renewables nowhere
  • 1 day Magic of Shale: EXPORTS!! Crude Exporters Navigate Gulf Coast Terminal Constraints
  • 4 hours We Are Better Than This
  • 1 day Only one country is contemplating destroying its own resource sector: Canada
  • 8 hours The Latest: Iranian FM Says US Cannot Expect To ‘Stay Safe’
Alt Text

Oil Inches Higher On Falling Rig Count

Oil prices inched higher at…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Trending Discussions

JP Morgan Cuts Its Oil Price Outlook For 2019

JP Morgan has revising its outlook on Brent crude to US$73 per barrel on average, CNBC reports. The bank’s earlier forecast was for an average Brent crude price of US$83.50 a barrel.

The head of the bank’s Asia-Pacific oil and gas operations, Scott Darling, told CONB analysts had factored in the increase in supply in North America that will occur in the second half of 2019 and will eventually pressure prices even lower in 2020, to an average US$64 in that year.

With everything that has been happening to oil in the last few days, with prices getting pummeled by mass short covering and pessimistic economic forecasts for global growth, chances are investment bank will soon begin revising their forecasts unless they are certain OPEC will agree a production cut at its Vienna meeting next month.

This cut is by no means certain although bulls are pinning their hopes on it in the absence of any other significant positive factor working for oil right now. On the contrary, even the latest production numbers from OPEC’s number-one, Saudi Arabia, were bearish for prices: Bloomberg’s Javier Blas yesterday reported, citing industry insiders, that the Kingdom’s oil production since the beginning of this month jumped to new highs, reaching 10.8-10.9 million bpd. Supply, including production and inventory drawdowns reached 11 million bpd on some days.

JP Morgan’s Darling said if OPEC is to balance the market and prop up prices, it would need to reduce its combined production by as much as 1.2 million bpd. The cartel itself is discussing cuts of between 1 million bpd and 1.4 million bpd. Russia has yet to weigh in but a Reuters report citing two senior Russian government officials said the country would rather not join an OPEC-led cut this time, even as President Putin said at an industry event that Russia will cooperate with OPEC on oil prices.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage

Trending Discussions


Leave a comment

Leave a comment





Oilprice - The No. 1 Source for Oil & Energy News