Gunvor Says Oil Rally at Risk as Focus Shifts Back to Demand
- Brent crude may test $71-$72 in next six months, trader says
- That would erase supply-cut driven surge since late June
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Oil’s sharp rally since late June could be erased in the next six months as weakening demand takes over from supply cuts as the main market driver, according to Gunvor Group Ltd.
Parts of Europe are already in recession and the US is likely to slip into a mild one, said Frederic Lasserre, global head of research and analysis at the energy trader. There’s also uncertainty on demand in China, the biggest oil importer, he said in an interview at APPEC by S&P Global Commodity Insights in Singapore on Tuesday.