The Gulf Time Newspaper One of the finest business newspapers in the UAE brought to you by our professional writers and editors.
Bloomberg
Goldman Sachs Group Inc. raised its oil-price forecast for early next year, while Russia, Iran and Iraq separately signaled optimism that producer nations will be able to reach a deal to limit output at OPEC’s next meeting on November 30.
Goldman is now “tactically bullish†on the likelihood of an OPEC agreement and expects oil prices in New York to average $55 a barrel during the first half of 2017, up from previous estimates of $45 and $50 for the first and second quarters, analysts including Damien Courvalin said.
“With greater confidence that the global oil market can finally shift into deficit later next year, we now believe that there is a strong rationale for low-cost producers to deliver a swift production cut to normalize inventories,†they said.
The outlook comes amid growing signs that members of the Organization of Petroleum Exporting Countries and Russia will be able come to an agreement to curb production ahead of the producer group’s meeting at the end of the month.