With the extreme oil price sensitivity to POTUS Donald Trump’s health condition, there seems to be a spark of optimism in the charts. Namely, very positive comments from the president’s doctors caused oil prices to climb 2% on Monday. As a result, the WTI oil price was up 76 cents – up to $37.81 a barrel.
This is certainly good news following a rather disheartening close of last week for the oil chart analysis. When news of Donald Trump’s positive COVID 19 diagnosis hit, the oil price chart took a strong hit with prices dropping roughly 4%. In fact, the price of WTI oil was even down 5% at some point last Friday.
Promises of Trump’s recovery have also lifted some of the political uncertainty that has largely been defining the global market situation, as well as the oil price chart analysis in particular. But another factor played a beneficial role for the oil price analysis (October 2020) this week. The workers’ strike in Norway is threatening to reduce the country’s oil production by as much as 8%, which is also giving the oil analysis a boost.
But then OPEC member Libya has seen a dramatic rise in output, which is putting opposing pressure on the oil price analysis. And if this trend continues, Libya’s output alone will eliminate the existing, very frail supply deficit in the world. And given the other global economic factors currently at play, the oil price forecast is on very shaky ground.
Watch the full video for our take on the WTI oil price forecast and find out what the oil prices forecast next week might look like. And don’t hesitate to let us know in the comments what your take on the oil price today is.
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