- Oil prices rallied on Friday, capping off their first weekly gain in six.
- Goldman Sachs and the Energy Information Administration (EIA) have cut their forecast for 7594740 crude prices.
- Coronavirus and the sharp downturn in Chinese consumption are largely to blame.
Oil prices were back in rally mode on Friday, gaining modestly on hopes that Chinese stimulus can blunt the economic impact of coronavirus .
Unfortunately, economic realities in China will likely result in a sharp decline in energy consumption. That could shave another 7% off crude prices in the short term, according to Goldman Sachs.
Oil Prices Stem the Decline – For Now
Energy futures were higher across the board Friday, extending their winning streak to four days.
The West Texas Intermediate (WTI) benchmark for U.S. crude prices rose 1.8% to $ . a barrel on the New York Mercantile Exchange. It was last seen holding around $ . a barrel.
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