RSK: Oil barrel prices to average $15 higher in 2010
The average oil price for 2010 will be $78.35 a barrel for WTI and $75.90 for Brent, according to a survey of eleven analysts conducted by Energy Risk last month.
Price forecasts for 2010 are 25% higher than the average 2009 price of $60.69, based on expectations of a steady recovery in the global economy, a weak US dollar and strong demand from Asia.
Some analysts are expecting prices to hit $100/bbl by the latter part of 2010, while the most bearish forecasts predict $55/bbl. Looking ahead to 2010, analysts agree it is the speed and shape of economic recovery that will be driving fundamentals, financial flows, sentiment and geopolitics.
The weaker dollar continues to be a key factor driving oil prices next year. Views on supply and demand are varied based on different GDP forecasts and perceptions of how far the market is into a global recovery. Geopolitically, Iran and Iraq represent a possible concern for the oil market for 2010.
For the full survey results and analysis see On the up in our upcoming December issue.
