Energy Prospectus

Goldman Sachs sees oil prices rising on record demand.
Oil Demand Exceeds Supply

Oil prices are set to rise to $86 per barrel at year-end, from $80 now, as record-high oil demand and lowered supply will lead to a large market deficit. “We expect pretty sizable deficits in the second half with deficits of almost 2 million barrels per day in the third quarter as demand reaches an all-time high,” Daan Struyven, head of oil research at Goldman Sachs, told CNBC’s “Squawk Box Asia” program on Monday. While demand is set for a record high this summer, supply is shrinking. The production and export cuts from OPEC+ and the slowdown in U.S. oil production growth will also play a part in large deficits in the third quarter this year.
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MY TAKE: The "Big Dogs" in the Wall Street Gang are all forecasting higher prices. The Gang has a herd mentality.

Read more: https://oilprice.com/Latest-Energy-News/World-News/Goldman-Sachs-Sees-Oil-Prices-Rising-On-Record-Demand.html

Trading Economics:
"WTI crude futures rose over $78.50 per barrel on Monday, the highest in three months propelled by the promising outlook of tighter global supply and a surge in Chinese demand. Last Friday, United Arab Emirates Energy Minister Suhail al-Mazrouei expressed confidence in the efforts of OPEC+ to support the oil market, assuring that current actions are adequate, but remaining ready to take additional measures if required. China, amid a faltering post-pandemic recovery, is anticipated to introduce targeted stimulus measures to bolster its economic rebound, further bolstering sentiments in the market. Nevertheless, cautious reined ahead of crucial interest rate decisions from both the US Federal Reserve and the European Central Bank. Market expectations suggest that both central banks are likely to implement rate hikes this month, though traders have dialed back their expectations of further monetary tightening this year due to easing inflationary pressures."

The only reason that inflation cooled off a bit is because oil prices pulled back in Q2.