Prediction of the day: 'Oil back to $70 in 2015'

Credit ratings agency Fitch sees the oil price rising this year. Hector Reid reports on who will be the winners and losers.

15-1-13-sechin-634
Rosneft's chairman, Igor Sechin, sees oil prices rising

What's the story?

a report on Friday

oil price

What does everyone else think?

told reporters

Chad Mabry, an energy analyst at a New York investment bank, agrees with that forecast. "If you look at the fundamentals into the back half of 2015, we are seeing equilibrium on supply and demand balance", he saidin an interview with CNBC. "We are seeing supply come down." This would, in turn, put prices up.

Who benefits from higher oil prices?

In Russia, an oil price significantly below $70 a barrel "could precipitate a deeper recession and put further strain on public finances, severely limiting the authorities' room for manoeuvre", Fitch's report states.

Who benefits from lower oil prices?

The Economist

Chances the prediction is right: 78.5%

Recommended

Gold has had a tough start to 2021, but we’ve been here before
Gold

Gold has had a tough start to 2021, but we’ve been here before

Gold has had a disappointing start to the year – in an increasingly digital world, it’s the ultimate analogue asset. Nevertheless, says Dominic Frisby…
20 Jan 2021
More upside to come for the oil price
Oil

More upside to come for the oil price

The Brent crude oil price its highest level since last February this week. And there could be more gains to come.
14 Jan 2021
A simple way to profit from the next big trend change in the markets
Investment strategy

A simple way to profit from the next big trend change in the markets

Change is coming to the markets as the tech-stock bull market of the 2010s is replaced by a new cycle of rising commodity prices. John Stepek explains…
14 Jan 2021
The price of this commodity has almost doubled since the start of the year
Gas

The price of this commodity has almost doubled since the start of the year

Liquefied natural gas (LNG) is fetching record prices in Asia, almost doubling in the last two weeks alone. John Stepek explains why this is so import…
12 Jan 2021

Most Popular

Why we won’t see a house-price crash in 2021
House prices

Why we won’t see a house-price crash in 2021

Lockdown sent house prices berserk as cooped up home-workers fled for bigger properties in the country. And while they won’t rise quite as much this y…
18 Jan 2021
Prepare for the end of the epic bubble in US stocks
US stockmarkets

Prepare for the end of the epic bubble in US stocks

US stocks are as expensive as they’ve ever been. How can you prepare your portfolio for a bubble bursting?
18 Jan 2021
It's not just the UK – we're seeing pandemic housing booms across the globe
Property

It's not just the UK – we're seeing pandemic housing booms across the globe

Soaring house prices aren’t just a UK thing, they’re a worldwide phenomenon. And it’s no coincidence – the underlying cause is much the same. John Ste…
18 Jan 2021