Oil: Climate remains highly bearish and uncertain – OCBC

Negative oil prices are unlikely to reoccur but climate remains bearish, according to strategists at OCBC Bank. 

Key quotes

“The crude oil market is still in a state of abyss. The mood remains highly bearish and uncertain, with no clear indication on when demand may return. Storage is set to run out by the end Q2 2020.”

“While we expect prices to remain depressed, we do not see the economic justification for a benchmark crude oil to be trading at negative prices.”