By continuing on this site you have agreed to cookies being placed and accessed by this website. More information and adjusting cookie settings.
‘The much feared meltdown does not take place’“Once that happens, it is clear that the risk profile in the market is much more evenly spread, making it much less of a one-sided bet. Protection has been bought and hedges have been put in place, if not by the whole of the investment community, at least by the more active part of it. Markets are no longer simply hurt by a further decline: some of the market participants even stand to gain.”
‘It is unlikely that we will revisit the low of USD 25 per barrel’“From a demand perspective, we expect the current low prices to lead to higher (relative) demand, with the attractiveness of alternatives like solar and wind looking less attractive, at least for now. All in all, we think it is unlikely that we are going to revisit the February low of USD 25 per barrel, but as long as there is still excess supply coming to the market, the upside for oil is also limited for now.”