For more than a year now, oil industry insiders have been predicting a return to $100 per barrel. I’ve reported on three earlier predictions here:
A fourth prediction of the same arrived today from the Bank of America via CNN:
‘The bank’s analysts wrote Thursday that collapsing oil production in Venezuela and potential export disruptions in Iran could push the price of Brent crude as high as $100 per barrel in 2019….Another factor that’s helping to reduce supply is an agreement between OPEC and other major producers including Russia to slash output. The deal is set to expire at the end of 2018, but the Bank of America analysts said that OPEC and Russia are likely to continue working together to prevent prices from falling. At the same time, the analysts said the global economy is growing at a healthy pace and supporting higher demand for oil. The extra demand is helping to wipe out an oil glut that has plagued markets.’
Try googling ‘BBC $100’ and find everything from Lance Armstrong’s $100m lawsuit to Rory McIlroy’s latest $100m sponsorship deal but no mention of oil. Prices. Given that these reports of $100 per barrel have all come from the kind of sources normally trusted by the BBC, such as oil industry CEO’s and finance companies, its taken some doing by business correspondents, such as BBC Scotland’s Douglas Fraser to miss them all. I don’t think he’s following me or it.