JPMorgan says oil prices could crash more than 50% in the next 2 years. Demand growth is slowing, while supply is expected to continue rising steadily. Supply will expand at three times the rate of demand this year and in 2026. The surplus is expected to reach 2.8 million barrels per day in 2026.

16 comments

1. Trump’s “drill baby, drill!” energy policy didn’t age well.

2. What about when US producers shut down due to costs

3. Oil is entering long term decline. Gasoline car sales have peaked.

   The future is electric.

4. This will end the war in Europe.

5. Ruzzia will invade another country to cause it to go up knowing them. Twats

6. ….. ….

   Geeeeze . . . who’da thought.

   Drill baby drill , always late, coulda filled the SPR for free in 2019.

   Biden said drill, – or we’ll take away Gulf leases, didn’t drill. Didn’t need oil . Now there’s 15 dormant rigs in the Gulf .

   China is near or over 50% green energy, new salt reactors, salt batteries charge in minutes.

   We’re still burning coal .

   Rest of the world knows the next energy source . .- won’t be poured into a fuel tank !

7. So…. You’re saying I should oil power generation, burn cheap fuel oil and sell the expensive sparks, yes?

8. Good. Used electric vehicles are cheap. Keep the pressure on.

9. Will that be the end of Russia?

10. Nope. I don’t think so. If oil goes and stays below $60, a lot of production will go off-line because either companies will go out of business, or they’ll just sit and wait and not pump because it cost them more to drill than the price they can get for it.
    Trump can yell drill baby drill all he wants, and open up every single backyard in America to drilling. Nobody is going to put up the capital to do so if it doesn’t make economic sense.

    Now, if he wants the government, meaning the taxpayer, to take over the oil companies and drill at a loss because private people just won’t do that… That would obviously be a game changer. But that’s what Venezuela does. I’m gonna go out on a limb and assume the political will to emulate Venezuela model is not going to fly around here.
    Even with the OPEC plus nations. They too can pump and drill all they want, but it will eventually bankrupt them as well if they end up doing it at a loss. Inflation has hit everybody. It cost a lot more to drill now than it did just a few years ago.

11. And California gasoline will still cost $5 a gallon.

12. >The investment bank’s analysts foresee a structural imbalance emerging that will continue to weigh on oil **if supply continues to grow faster than demand** in the coming years. **Even as demand continues to edge higher**, oil supply will grow more, expanding at three times the rate of demand this year and in 2026

13. Well good thing then that we’re about to go to war for Venezuelan Oil… /s

14. The only bad thing about this is that it will slow the adoption of EVs and renewable energy.

15. Watch Taylor Sheridan somehow write into a Landman script that this is MAGA winning as US producers go bankrupt by the hundreds a year lolz

16. Oil going from 60 to 30 will not make gas go from 3.20 to 1.60. If oil dumps that hard (possible) then gas will go to 2.55.
    Even if oil were free it would still need shipped, refined, shipped again, additives, delivered , and retailed. That’s 2 bucks right there.

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