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Oil Price Forecasts Falling on Shale Surge, OPEC Uncertainty

  • ‘Too much oil out there’ undercutting bullish view: Analyst
  • Tudor cuts 2018 forecast, seeing 50% more oil than anticipated
Bloomberg business news

Supply Pressure Hits Saudi Arabia Before OPEC Meets

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Analysts following the $1.8 trillion-a-year oil market are tempering bullish price outlooks after the commodity lost about 10 percent of its value in less than two weeks amid ominous signs the worldwide supply glut may not be shrinking.

Tudor, Pickering, Holt & Co. International, the Houston investment bank, on Wednesday slashed its 2018 forecast for the dominant North American crude, West Texas Intermediate, by 13 percent to $65 a barrel. The reason: They see U.S. output rising by 1.2 million barrels a day in that time, 50 percent more than in an earlier forecast.