Oil Price Outlook - April 27

[dan_s]

Raising our oil price forecast for 2018-19, and the long-term – with cyclical highs likely over the next 6 to 12 months. Our global oil supply/demand model has increasingly pointed to the need for oil prices to move higher in order to avoid a starkly undersupplied oil market in late 2018 and 2019. Even when making some deliberately conservative (bearish) assumptions, our group’s latest oil model indicates that global inventories will draw by a massive 800,000bpd in 2018 (even with strong U.S. supply growth and high-US$60s oil prices). - Raymond James 4-27-2018