Morgan Stanley's note on the Organisation of the Petroleum Exporting Countries (OPEC) to balance the oil market next year was about yesterday, so this is not breaking.

MS say:

  • inventory drawdowns indicate oil markets tighter than predicted
  • excess inventory built up last year ... more than eroded
  • "This could suggest that the market is simply more undersupplied than estimated"
  • "As supply data tends to be more accurate, this suggests upside to demand estimates."

See US shale output growing next year, but not the same extent as in 2016-2018

  • combined with low non-OPEC capex should see OPEC balance the market next year

MS project support for Brent prices around $US75 a barrel in 2022.

Morgan Stanley's note on the Organisation of the Petroleum Exporting Countries (OPEC) to balance the oil market next year was about yesterday, so this is not breaking.