• Tom Kirkman posted an update 5 years, 8 months ago

    This article covers quite a bit of ground. Some points I agree with, some I don’t. But it made me think about a few of the items discussed.

    Unlike the author, I still think the “sweet spot” for oil in the longer run is in the range of $50 – $60 per barrel, and not higher than $65.

    For the last couple years or so, up until around Q3 / Q4 of last year, I had commented repeatedly that I thought the “sweet spot” for oil was around $50.

    But around the beginning of this year, with positive signs finally arriving, I finally changed my opinion to the $50 – $60 range.

    At this point, $70 and above would likely become far too volatile. Maybe next year.

    For lurkers, I am very much pro oil & gas. But it is good to read a wide variety of sources, especially some mildly contrarian sources, to keep an overall view of things. Echo boxes don’t help too much. And MSM can be annoying and misleading.

    Just my opinion. As always, you are free to disagree.

    • 2 people like this.
    • Tom, I’m with you on $65 being a realistic ceiling. That said, with the over supply option out there looming I could also see $20 per barrel as well.

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