FightingIrish33
Oct 18, 7:49 PM
$CVX latest:
Crude oil is trading near
$100 a barrel, Brent is around
$110, and William Blair energy research analyst Neal Dingmann thinks the next move could be a "super spike."
"We could see a super spike like a lot of the CEOs of the majors have suggested,"
Dingmann noted that oil executives keep telling him prices have a new, higher floor for at least the next several quarters, and he agrees: The midcycle price most analysts used to put at
$70 to
$80 a barrel is now "probably closer to 80 to 90," with periods above
$100.
"I think we've already seen record highs and we're going to even see higher," Dingmann said, pointing to "diesel, gasoline, home heating fuels" as winter approaches.
good news for US oil producers, which Dingmann said "are just going to continue to print money." Most of the companies he covers reported record free cash flow in the second quarter, he said, and he expects new records in the third or fourth quarter.
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