Morgan Stanley says now the the oil market is broadly balance, citing OPEC and allies to extend their production cuts
- lowered its long-term Brent price forecast to $60 per barrel (from $65)
- expects prices to fluctuate around $65 per barrel, from $67.5 per barrel previously, in the next three quarters
"OPEC cuts can be very effective when they smooth over relatively temporary imbalances in supply and demand. However, when they become multi-year transfers of market share, history shows that they are usually associated with oil price weakness rather than oil price strength"
via Reuters
