Commodities
Citigroup’s Morse Expects Oil to Remain Below $90 a Barrel
- Support seen near $70 a barrel amid SPR refills and OPEC cuts
- Oil markets will remain volatile in months ahead: Ed Morse
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Oil is unlikely to fall below $70 a barrel, but it would take a “wild card” event to push prices above $90, said Ed Morse, global head of commodity research at Citigroup Inc.
Brent crude prices are finding support near $70 a barrel due to several fundamental factors, Morse said in a Bloomberg Television interview. For starters, OPEC+ doesn’t want oil prices to fall below that level and has shown that it will slash production in order to keep prices afloat. Another factor: The US’s commitment to refilling its Strategic Petroleum Reserve with prices around $70 a barrel.