Lombard Odier: oil in 2016 will cost $50-70 per barrel

Lombard Odier: oil in 2016 will cost $50-70 per barrel


The current ratio of supply and demand for oil allows to make a prediction that next year the price for oil show positive dynamics, the expert believes.

MOSCOW, 18 Nov. The price of oil in 2016 will stabilize in the range of 50-70 dollars per barrel, says the portfolio Manager of the Bank Lombard Odier Peter Kabalevsky.

In his words, such forecast is made, based upon the current ratio of supply and demand for oil.

“The global demand for oil is constantly increasing. The supply of oil from producers declines, as major oil producers — Russia, Arab Emirates and USA is constantly reduce consumption, because many oil producers out of the market”, — he said at a press briefing on Wednesday.

Compression of the proposal and the increase in demand should positively affect the dynamics of oil prices, to provide a stabilizing effect, says Kabalevsky.

According to experts, if the current balance of forces in the market of manufacturers of oil continues, the price of black gold has stabilized in the range of 50-70 dollars per barrel in the medium term.

Lombard Odier is one of the largest private Swiss banks, founded in 1796. Specializes in asset management and the provision of private banking services.