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Citi says crude oil could hit $80 amid geopolitical wildcards

Published 01/10/2018, 10:10 AM
© Reuters.  Citi says crude oil could hit $80 amid geopolitical wildcards
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  • U.S. crude oil prices hit their highest level of the new year, rising to as high as $63.57/bbl, and Citigroup (NYSE:C) analysts predict wildcards including war, Middle East tensions, Pres. Trump and Kim Jong Un could drive crude toward $80/bbl.
  • A reinstatement of U.S. sanctions on Iran likely would dislocate at least 500K barrels of the Iran’s oil exports, resulting in a $5 price increase to oil, the bank says, adding that combined with potential supply disruptions in Iraq, Libya, Nigeria and Venezuela could see global oil supply drop by more than 3M bbl/day this year.
  • Goldman Sachs (NYSE:GS)' head of commodities research Jeff Currie believes OPEC would try to talk down an oil rally above $70/bbl to cushion the impact on the global economy and rival supplies.
  • ETFs: USO, XLE, OIL, UWT, UCO, VDE, XOP, DWT, ERX, OIH, SCO, BNO, DBO, ERY, DIG, BGR, GUSH, DTO, FENY, USL, IYE, DUG, DRIP, IEO, FIF, DNO, NDP, PXE, OLO, RYE, DBE, PXJ, SZO, CRAK, FXN, OLEM, RJN, WTIU, DDG, OILK, NANR, OILX, WTID, ONG, JJE, USOI, UBN, FTXN, JHME, ERYY, ERGF, USAI
  • Now read: Oil: No Emotions, Only Facts And Numbers


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