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JPMorgan sees upside risk to 2013 oil prices

Sunday, October 09, 2011

JPMorgan said on Friday it sees upside price risks conducive to oil prices moving to USD 130 per barrel for 2013 from ongoing geopolitical issues, low spare capacity, the potential for stock building, and currency-related issues.

The bank sees Brent prices for 2013 average at USD 121.25 per barrel and forecasts 2013 average WTI price at USD 114.25 per barrel.

"Our analysis suggests that supply constraints will again be reached by the end of 2013, driving a quarterly rise in our ICE Brent price forecast to USD 130/bbl," it said.

JPMorgan maintained its price projection of USD 115 a barrel for Brent crude oil, and USD 97.50 a barrel for WTI through 2012.


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