Yasser Elguindi
Yasser Elguindi
appears continues demand risks strong taking upside view
If demand continues to be strong we are going to be struggling. OPEC appears to be taking the view that the risks are weighted more to the upside than the downside.
continue crude loose meaning send signal supply wrong
But they don't want to send the wrong signal to the market. They want to continue a loose supply policy, meaning that if there's a crude problem, which there isn't now, they can supply it.
good ideal last quarter second wrong
They've been wrong the last two years about what the second quarter fundamentals are going to look like. Fundamentally speaking, it's probably not a good ideal to pre-empt the market.
perceived wants
OPEC wants to be perceived as part of the solution, not part of the problem,
believe budgetary demand economies investment keeps maximum meet needs price rest sure sustain wants
OPEC wants the maximum price they can sustain to meet their budgetary needs and investment plans, and keep their economies growing, while making sure that demand in the rest of the world keeps growing. The Saudis have hinted they believe that price was now between $50 and $60 a barrel.
countries given high prices producing
High prices have given all producing countries a lot more leverage.
canada choice companies gave oil sands
If you gave oil companies a choice between the tar sands in Canada or oil in Saudi Arabia, which do you think they'd choose?
company oil
If you're an international oil company and see this trend, it must be worrying.
continues demand strong
If demand continues to be strong we are going to be struggling.