JP Morgan expects Brent to finish at around $90/bbl by year-end
Baku, Azerbaijan, Oct.15
By Leman Zeynalova – Trend:
Brent oil price is expected to average $85 per barrel in 4Q18 and $83.5 per barrel in 2019, according to the forecasts of the US JP Morgan Bank.
“We expect Brent to finish at around $90 per barrel by year-end,” said the bank’s report obtained by Trend.
US light crude benchmark West Texas Intermediate (WTI) oil should average $75.83 per barrel in 4Q18 and $76.8 per barrel in 2019 based on JP Morgan’s central oil price scenario.
“The upward revision in our forecasts was strongly driven by significant supply-side risks (severity of Iran sanctions became clear as importers of Iranian crude scaled back significantly in the run-up to the 4 Nov deadline), more than offsetting the expected softness in demand,” said the report.
This is while the US Energy Information Administration (EIA) said in its October Short-Term Energy Outlook (STEO) that Brent spot prices are expected to average $74 per barrel in 2018 and $75 per barrel in 2019.
EIA estimates that Brent crude oil spot prices averaged $79 per barrel in September, up $6 per barrel from August.
EIA expects West Texas Intermediate (WTI) crude oil prices will average about $6 per barrel lower than Brent prices in 2018 and in 2019.
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