Citi Global Head of Commodities Strategy sees oil prices falling in 2022 – forecasts

Citi Global Head of Commodities Strategy Ed Morse spoke in an interview to discuss the outlook for commodities in 2022.

On Brent:

• I think we’re moving from a period that’s been over a year in which we’ve had inventories drawing down not enough supply to meet demand to a period in which we’re going to see, starting no later than the second quarter we believe, inventory is starting to grow around the world in an accelerated basis.

• So we think this is going to be a year where prices are going to go down rather than up. And we’re looking at Brent going from an average of over $75 a barrel this past quarter to maybe $10 or $12 or $15 lower than that by the fourth quarter of this current year.

There is plenty more here at the video (and transcript if you don’t want to watch the whole thing).