Amid a dire global economy, many market strategists and analysts believe oil will be the biggest investment in 2023. A barrel of oil is trading well at $80.12 to $85 per unit, but a Goldman Sachs analyst believes oil will reach $110 per unit. Also, Morgan Stanley strategists believe oil prices will hit $110 a barrel by mid-2023. The founder of Praetorian Capital recently warned that a barrel of crude oil could rise significantly next year.
Market strategists expect oil prices to rise significantly in 2023, with some warning that oil could hit $100 a barrel next year, while others could hit $200 a barrel. some say there is
Wall Street is bullish on oil compared to stocks, cryptocurrencies and precious metals, according to the report. Oil has risen significantly this year amid rising inflation and the start of war between Ukraine and Russia. A barrel of Brent traded at $126 a barrel on March 8, 2022, the same day the gold price hit an all-time high. Following the 2022 high, oil prices fell eight days after he fell to $96 a barrel on March 16.
Since that date, a barrel of Brent crude has fallen 31% against the US dollar, falling to the 85 barrel range on December 27, 2022. Despite the drop, many investors and Wall Street types believe oil will be the best investment in the coming year. Hedge fund manager and Praetorian Capital founder Harris Kupperman is among the market strategists who believe oil will “crush” all other investments in 2023. Kupperman’s portfolio opinion, shared in the Quoth the Raven substack, goes beyond just saying that oil will outperform all other investments, but Kupperman expects it to top $200 a barrel.
“My strongest view is that 2023 will be the year of oil that will crush all other CUSIPs,” wrote the founder of Praetorian Capital. “Again, I think it’s important to reiterate that if you’re not stress testing your portfolio for oil prices above $200, you’re going to be hit hard when that happens.”
Kupperman isn’t the only investor betting on bullish oil prices next year. The investment publication The Motley Fool highlights that Jeff Currie, the head of global commodities at Goldman Sachs, believes Brent will reach $110 next year. In a memo to clients, Morgan Stanley shared the same view on oil price hikes in 2023.End of Supply, SPR Release, and [the] U.S. shale slowdown,” said a Morgan Stanley commodities analyst.
Jay Hatfield, CEO of Infrastructure Capital Advisors, detailed on December 23 that he expects $80 to $100 per barrel “while the war in Ukraine continues.” Hatfield also said he expects China’s oil demand to “recover from its zero-coronavirus lockdown policy.” A report published by Emberus Intelligence Research (EIR) warns that in 2023 he will see oil prices return to $100 a barrel. management.
What do you think of the oil price forecast for 2023? Let us know your thoughts on the matter in the comments section below.
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