RE:RE:RE:RE:Biden finally stop release on SPR..
Roscoe747 wrote: I wonder what Opec's response will be to support a $90 floor price when they can not even produce enough oil to meet their target volume with no impact on oil pricing. One can assume that when demand increases, (inflation controlled, recession overblown, interest rates normalising, economy growing, China demand increasing, consumer travel demand booming). Opec will not pump enough oil to keep the price down to $90.
Don't rule Biden out either, whether it is prodding US producers, desperate SPR sales or making distasteful deals with Venezuela, Iran or SA. Supply will still not meet demand but any supply enhancement will create the volatility needed to keep the market off balance and suppress stocks. Especially, dont rule out another SPR release.
Opec lack of spare capacity, with China daily volume of import of oil pre covid was 10.8 millions barrels it will be interesting to see where oil go!!
im with Goldman and morgan stanley call for $ 110 per barrel and quick spike to 130-150 range by summer!!