Goldman Sachs Says U.S. Oil Drama Trumps OPEC's Vienna Chaos
- Bank sees U.S. stockpile drawdown on Canadian oil-sands outage
- Agressive OPEC output boost seen leading to only small surplus
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The most dramatic events in the oil market last week occurred in North America as opposed to OPEC’s get-together in Europe, according to Goldman Sachs Group Inc.
The bank says the outage of an oil-sands facility in Canada could lead to a shortage in North America for all of July and shrink stockpiles at the main U.S. storage hub in Cushing, Oklahoma. That’ll support American oil prices while a deal in Vienna between OPEC and its allies to boost output -- led by Saudi Arabia -- may weigh on Europe’s Brent crude, analysts including Damien Courvalin wrote in a June 24 report.