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of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
OIL
Everything is going right for oil bulls at the moment according to Citi’s head of commodities research, Max Layton in an interview with CNBC at the end of last week.
- “You’ve had a tightening of the global [oil] balance and that’s been the result of a number of supply disruptions, you’ve had the Ukraine drone attacks in Russia, the rerouting on trade flows, which are really driving down onshore oil inventories, offset by larger on water inventories” Layton said.
- “There appears to be an upside leg in the fear of missing out for oil.” he added.
- “We certainly view this $85-90/bbl oil range as not a stable equilibrium – something that is unlikely to last” flagging the threat of U.S. shale growth, rising rig counts and an increased probability of OPEC+ brining barrels back to the market.
- “Generally speaking, the house view is for a number of recessions across DM [developed market] economies in the next 6-12 months” Layton said.
- Looking ahead – “We’ve got really strong non-OPEC supply growth in 2025 and a broad weakning of demand growth as a result of efficiency gains and higher penetration of electric vehicles.” Layton said.
Source: Citi/CNBC
Why MNI
MNI is the leading provider
of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.
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