Oil Prices - 2023 and beyond
You might be interested in the graph below which is based on the weekly rates Mobil has set over 2023. While the inflation outlook over the next few years is volatile, there are a few other factors in play that will affect oil prices. The US Strategic Petroleum Reserve (SPR) is half of its maximum capacity and down to levels last seen in the early 1980’s. The US Dollars remains strong and could stay strong against the NZ dollar for some time. This month Saudi Arabia and Russia are extending production cuts. This is on top of April 2023 announcements by OPEC+ producers that run until the end of 2024. Some analysts believe that even in a global recession scenario, energy prices could remain high or continue to increase.