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EIA cuts oil price forecast for 2018 and '19, ups 2019 U.S. production outlook

Published 12/11/2018, 12:59 PM
© Reuters.  EIA cuts oil price forecast for 2018 and '19, ups 2019 U.S. production outlook
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  • The U.S. Energy Information Administration cuts its 2018 and 2019 forecasts for WTI and Brent crude prices, and hikes its domestic production outlook for next year.
  • According to the latest EIA monthly report, the WTI price 2018 is now expected to average $65.18/bbl, down 2.4% from its November forecast, and cuts its outlook for the 2019 average WTI price by 16.4% to $54.19/bbl; for Brent, the EIA lowers its forecast by 2.3% to $71.30/bbl in 2018 and by 15.2% to $61/bbl in 2019.
  • The EIA also raises its 2019 crude oil production forecast by 1.18M bbl/day from this year, now expecting the U.S. to average 12.06M bbl/day in 2019.
  • This year's production is expected to rise by 1.53M bbl/day to 10.88M bbl/day, down a bit from an earlier estimate of a rise of 1.55M bbl/day.
  • Today's crude oil futures still trade higher but below earlier gains: WTI +1.3% at $51.68/bbl, Brent +0.7% at $60.41/bbl.
  • ETFs: USO, OIL, UWT, UCO, DWT, SCO, BNO, DBO, DTO, USL, DNO, OLO, SZO, OLEM, WTIU, OILK, OILX, WTID, USOI, USOU, USOD, OILD, OILU, USAI
  • Now read: Crude oil claws back some of yesterday's hefty losses; WTI +2.4%


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