Oil Price - Dec 10

dan_s · Post by **dan_s** » Sat Dec 10, 2016 11:27 am

In a webcast that Drilling Info hosted this week the group looked at the possible outcomes of oil supply, demand and pricing in the foreseeable future. Drilling Info analysts concluded that if OPEC cuts successfully, prices can go as high as $67 per barrel in 2017, which would grow production in the U.S. from now until Dec. 2017 by 642 MBOPD.

See: http://www.oilandgas360.com/opec-actual ... S_Campaign

MY TAKE: Oil prices will flop around in the low $50's for awhile. If OPEC members start to comply with their agreement then oil prices will drift higher. I do not think we need to see OECD crude oil inventories move back to normal before oil prices will move higher. If U.S. crude oil inventories continue to move toward 400 million barrels, then oil prices should move higher. Keeping in mind that demand for oil ALWAYS ramps up in the summer, that is when I expect to see $60+ oil prices.