Temporary factors on the supply and demand side have pushed up oil prices in recent months. As growth in demand has likely peaked, focus returns to the supply side.

While I expect OPEC to extend the production cut, non-OPEC countries are expected to increase production substantially in 2018 – led by US shale. Hence, Brent oil prices are set to average USD54 per barrel in 2017 and 2018.

 

Related documents:

2018 Oil Price Outlook