Oil Prices to Reach ‘Low Point’ in 1Q16 Before Stabilizing by Year-End

Global oil prices will reach a “low point” in the first quarter of 2016 before stabilizing by the end of the year,  t”Prices are going to stay lower for longer, we have said it and I think we are in this for a couple of years. For sure, there is a boom-and-bust cycle here,” Dudley said.

Oil prices fell by 34 percent in 2015, majorly due to prolonged global oversupply. Brent crude reached an 11-year low in December.

The continued fall of oil prices has also been attributed to the Organization of the Petroleum Exporting Countries’ (OPEC) unwillingness to cut production out of fear of losing market share.

“Prices are going to stay lower for longer, we have said it and I think we are in this for a couple of years. For sure, there is a boom-and-bust cycle here,” Dudley said.

Oil prices fell by 34 percent in 2015, majorly due to prolonged global oversupply. Brent crude reached an 11-year low in December.

The continued fall of oil prices has also been attributed to the Organization of the Petroleum Exporting Countries’ (OPEC) unwillingness to cut production out of fear of losing market share