- Crude oil prices have fallen further and faster than anyone would have predicted, and are now sitting below the US$50 per barrel mark.
- As such, TD Economics team have downgraded their WTI price forecast, and are now calling for a lower bottom, as well as a slow recovery.
We’ve looked to the economists at TD Bank Group to share an overview of the recent oil price drop. Their January 2015 report provides a timely analysis of the factors behind the oil price moves, along with their longer term outlook.
The study helps understand the complex factors driving the supply and demand for oil, and explains their potential impacts on the forecast oil barrel price. The outlook for the oil price through 2015 and beyond is covered, with a balanced view that highlights some of the risks inherent in any forecasting.
For investors, the effect of the price of oil on economic growth and financial markets is significant, affecting not only the oil producers, but every market sector where energy and transport costs are important.
Credit to Dina Ignjatovic in TD Bank Group Economics team for the report.
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