Oil price to fall further but long-term fundamentals still in place, says Investec

Investec's Global Energy managers believe the oil price could fall to $110 a barrel but this level wi...

Investec’s Global Energy managers believe the oil price could fall to $110 a barrel but this level will act as a floor in the longer-term. Jonathan Waghorn and Mark Lacey said near-term demand destruction is having an effect on the oil price however this was fully-expected by the duo. “We do not consider this price reaction to be surprising since we have long held and well published view that global demand for crude oil would be negatively impacted if prices reached $135 a barrel.” They also said that corrections are an inevitable part of the longer term up cycle in energy commodity pri...