Oil could crash to $10 a barrel, warn investment bank bears

01-12-2016 • http://www.telegraph.co.uk

Oil prices have crashed to below $30-a-barrel amid warnings the rout could reach as low as $10 and bring down petrol prices to levels last seen in 2009.

Standard Chartered became the latest major bank to downgrade its oil outlook to $10, joining the likes of Goldman Sachs, RBS and Morgan Stanley in making ultra-bearish calls as prices have collapsed by 15pc this year.

Brent crude has now slipped to a fresh 12-year low of $30.41 a barrel, while West Texas Intermediate - the US benchmark - is trading at $29.93 - a level last seen in December 2013. Analysts warned the oil market remains fundmentally out of balance as record over-supply and stagnant demand weighs on traders.

1 Comments in Response to Oil could crash to $10 a barrel, warn investment bank bears

Comment by PureTrust

Entered on: 1/13/2016 1:35:06 AM

A lot of people are suggesting that the U.S. Government, or factions therein (Obama), are behind ISIS. ISIS is moving oil, stealing oil, and destroying oil.

I wonder if such is true, and if it is all designed to:
1. bring the prices down far enough by first making an oil glut so that...
2. many of the smaller, more expensive oil operations fail followed by...
3. an ISIS created oil shortage so that...
4. the price of oil will go back up in say, 10 (5?) years from now so that...
5. the crashing Petro-Dollar bubbles will go away when the Petro-Dollar is strengthened by the newly created oil monopoly.

Maybe the picture is set for 5 years from now, but even if the Petro-Dollar crashes, there is still hope if we have a worldwide oil shortage while the Petro-Dollar is stronger than all other money.

Of course, if we can perfect some other form of energy before the crash, the Petro-Dollar just might be gone for good.

Make a Comment (1) • Email Link • Send Letter to Editor