YGRN - As WTI Hits $55 Here's Our Price Path Outlook

• As we look at the oil market landscape for the rest of 2021, the bull picture is painted clear, while the risk factors are also clear.
• With the market now clearing the overhang in oil inventories, the speed and recovery of oil price will really depend on the actual surplus in storage.
• If Goldman is right and we had built 1.2 billion bbls, then yes, the recovery will be much more H2 2021 weighted.
• But if you buy our logic and the demand cliff wasn't anywhere near ~30 mb/d, then the recovery timeline is actually closer to Q2 2021.
• And as we stated in the risk factors, readers should watch OPEC, Iran, and China for possible headwinds on oil prices this year. All-in-all though, if the demand recovery and counter-seasonal storage draw continue, it's more likely we are above $60/bbl by Q2 than Q3.

For further details see: