22 February 2010 17:28 [Source: ICIS news]
LONDON (ICIS news)--Goldman Sachs on Monday has forecast that WTI oil prices will climb to $85-$95/bbl this year as global economic growth accelerates, while Commerzbank warned of an imminent price correction.
The positive year-on-year growth in US industrial production for the first time since March 2008 and the expansion of Japan’s economy at an annual rate 4.6% in the fourth quarter of 2009, which was well above expectations, contributed to the recent rallies, the US investment bank said in a report.
A disruption in North Sea crude oil production, reduced Venezuelan fuel oil exports due to a power generation crisis and an extended refinery strike in
Goldman Sachs expected oil prices to rise to $85-$95/bbl in 2010, up from the $70-$80/bbl range since October last year.
Commerzbank, however, warned that a price correction was imminent.
The German bank said the rally since mid-February was mainly due to speculative investors’ activities and was therefore not sustainable. Given that fundamentals remained weak, Commerzbank said, oil prices were unlikely to exceed the mark of $80/bbl for long.
The bank also cautioned that
Oil prices were little changed on Monday. Brent crude on
At the same time, March NYMEX light sweet crude futures were trading around $79.77/bbl, having hit a high of $80.51/bbl, a gain of $0.70/bbl from the previous close.
For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.
Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
|ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index|
Asian Chemical Connections