Shale Bosses Lower Oil-Price Forecasts on Recession Risk
Pumpjacks extract crude oil from active oil wells in Seal Beach, California.
Photographer: Bing Guan/BloombergThis article is for subscribers only.
Shale executives have dramatically dialed back their oil-price expectations over the past three months as recession risks weigh on the market, according to the latest energy survey by the Federal Reserve Bank of Dallas.
US oil prices, which averaged $85.49 in the July-to-September period, are expected to end the year below $100 a barrel, according to the Dallas Fed’s quarterly energy survey. The greatest number of respondents in the quarterly survey are planning for West Texas Intermediate to fall in the $80 range, a sharp contrast from the previous quarter quarter when the most popular opinion called for crude to finish above $100 for the year.