Goldman Sachs says the world begins 2016 with a surplus of 1 million barrels of oil a day, and it will take a year to “digest” the oversupply and balance the market.
Bank of America Merrill Lynch thinks the average price for 2016 will be $45 per barrel for WTI crude and $46 per barrel for Brent crude.
The U.S. Energy Information Administration is shooting even lower — $38 for WTI and $40 for Brent.
Other industry watchers are more optimistic. Oil tycoon T. Boone Pickens told CNBC’s Jim Cramer he expects oil to be around $70 a barrel by the end of the year. But he made the same prediction in 2015.Read the rest of this article by clicking here.
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