NIFTY 50

Expect crude prices to consolidate in near term, says Energy Aspects

Updated : May 22, 2018 05:05:09 IST

“There may be some consolidation in the near term, but if you look at overall supply-demand fundamentals, they do look very constructive in the second half of the year,” said Virendra Chauhan, Oil Analyst at Energy Aspects.

Chauhan said that he is expecting crude oil prices to remain at USD 80 per barrel in the second half of the year notwithstanding a supply situation from OPEC members.

“We do expect Russia and Saudi Arabia to raise supplies if the situation in Venezuela, Iran, and Nigeria deteriorate. We would expect that to put some downside pressure on prices, but would not expect it to go back to USD 60 per barrel. I think we are going to remain above USD 75-80 per barrel for the balance of the year,”Chauhan said.

However he added that this is not their base case.

cnbc two logos
To keep watching CNBC-TV18, India's No. 1 English Business News Channel, call your Cable or DTH Operator and subscribe now for just Rs. 4 per month. You can also subscribe to CNBC-TV18 Prime HD for Re 1/- per month.Find out more
Live TV

recommended for you