The latest Reuters poll result showed that the economists and oil analysts raised the average oil price forecasts for 2016 for the first time in 10 months, although with a cautious tone.
Key Findings:
Raised their average price forecasts for 2016 for the first time in 10 months
Survey of 31 economists and analysts
Forecast benchmark Brent crude would average $38.60 a barrel in Q2 2016 & second quarter of this year
For 2016, analysts raised their average Brent forecast to $40.90 a barrel (from $40.10 in last month’s survey)
The reasons cited were as follows:
The prospect of an agreement among the world’s largest producers to keep oil output at January’s levels
Decline in U.S. shale oil output
(Market News Provided by FXstreet)