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Experts eye bearish fall season for oil

September 09, 2021

OilPrice:

Last week, oil prices enjoyed a nice rally OPEC+ agreed to keep its current production agreement in place, maintaining the 400K bbl/day hike scheduled for October. The group took less than an hour to make its announcement this time around, a stark contrast to the lengthy negotiations at previous talks. Later on Friday, WTI slipped just below this level, but the catalysts are there to bring it back. 

The markets have taken this to signal that global oil markets are in better shape than earlier feared, with the delta variant of Covid-19 causing widespread lockdowns and fears of another recession.

However, the rally has been rather weak, and WTI has been struggling to stay above $70 and facing heavy resistance around $71/bbl. Here are 3 bearish catalysts that could limit the oil price rally.

[ Alex Kimani ] 

More: 3 bearish catalysts for oil this fall 

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