OPEC Is Not Dead - Oil Markets Daily"
With OPEC now being back in the picture, oil markets will accelerate its rebalance. If the deal is implemented, storage overhang should go away in the first half of 2017, and the oil markets will have to reprice a risk premium back. Sudden supply outages and geopolitical events will once again become a factor in the oil markets, and the price curve will move from contango to backwardation. We think this is just the start of a multi-year cycle oil bull market. The perception of reality is still overwhelmingly bearish, but the sentiment is now starting to get a bit better. The price pop we are seeing today is far from over and we expect the bullish momentum to ride out to the year end and into 2017. We continue to believe that oil prices could hit $60 by year end, and given the current production cut guidance, oil prices could reach $70 in 2017."
HFI Research
https://seekingalpha.com/article/4027325-opec-dead-oil-markets-daily?app=1&isDirectRoadblock=false