“We expect to see further downside to prices in the next few months, with both WTI and Brent likely to trade into the high $30s before the oil price decline is arrested,” Barclays analyst Michael Cohen said in a note.
Observers point to deteriorating fundamentals, such as the Organization of Petroleum Exporting Countries’ refusal to cut output, non-OPEC supply growth and slowing consumption.
Along with the bearish outlook from investment banks, Oil prices dipped Wednesday after the U.S. Energy Information Administration revealed oil supplies increased by 8.9 million barrels in the week ended January 23, reports Timothy Puko for the Wall Street Journal.
United States Oil Fund
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