Energy analysts optimistic about oil even after price decline
The American oil benchmark price recently fell by 9% to below $50 a barrel, but most industry analysts think the long-term outlook is for prices to bounce back and continue to climb over the next few years, according to the New York Times. The newspaper says impetus for the price drop was a report by the Department of Energy that U.S. oil stockpiles had bulged by 8.2 million barrels in one week. “The herd mentality kicks in, [but] the fundamentals have not shifted,” Aquamarine Investment Partners CEO Joel H. Moser told the Times about the fall in prices, adding the demand for oil continues to steadily rise and industrial players are moderately gearing up production. For more, read the full story.