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Standard Chartered Highlights Undervalued Brent Case

OIL

A brent price above $90/bbl would more adequately reflect current fundamentals and risk to the oil markets according to Paul Horsnell, Standard Chartered’s head of commodities research.

  • “We still do not think crude oil prices fully reflect the rapid tightening of the market or the recent escalation of geopolitical risk,” Horsnell said referring to continued threats to oil supplies in the Middle East such as increasing Iran aggression to the west and Houthi Red Sea shipping attacks.
  • Standard Chartered forecasts the oil market set for supply deficits of 1.6 million bpd in February and 1.46 million bpd in March.

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