Ulyukaev predicted growth of oil prices


Moscow. On 25 January. Oil prices have the potential to grow due to the increasing demand, and by the revaluation factor to the speed of the market of Iran and due to the adjustment of expectations concerning the actions of the U.S. Federal reserve, agreed with the opinion of the head of the IMF Christine Lagarde Minister of economic development of Russia Alexei Ulyukayev.

Therefore, in his opinion, average annual oil prices in 2016 will be higher than current prices.

“I agree that they (oil prices) have the potential of recovery,” he told journalists, commenting on the relevant statement by Christine Lagarde at the Davos forum.

The head of the IMF during his speech expressed the view that, “perhaps oil prices will rise a bit as we see some improvement of demand in recent months”.

“The growth in demand (which was mentioned in his speech, Lagarde) is the fact that in 2015 1.5 million barrels per day around the demand has increased. Can’t be demand if the global economy at 3% increase, and demand has grown – it’s obvious,” agreed with this statement the speaker.

“Another thing that has been a lot of different expectations simultaneously in one pile formed. Expected that the fed will raise quite decisively and quickly, and now those expectations have changed. If three months ago believed that the fed will do 3 or 4 movements in total by 1 percentage point this year, but now the consensus that only one move will do by 25 basis points,” he brought another factor in favor of rising prices for oil Minister.

The speaker noted that expectations are that Iran is again easily enter the market and restore its position, were exaggerated. “As always, the financial market responded to these expectations, opening short positions on oil futures. So I think some rebalancing would be,” he said.

The Minister expects the average annual price of oil in 2016″will be higher than that which exists now”.