After a difficult week for commodities, various analysts told Channel SNBC that oil prices will begin to grow despite the current weak performance.
David Sneddon, managing director and global head of technical analysis in the Swiss financial conglomerate, led the charge of the reason for rising oil prices. He told TV channel CNBC, the current trading range for Brent crude oil has always been a key support level for the market.
"If you analyze the last 25 years, Brent crude has achieved its major highs and lows in this area (from $ 41 to $ 35 per barrel). Then there was the lowest (2008), and it was a time of ups and downs in the period from 2000 to 2004. It was also a big comeback in 1990, "- he said.
He added that this range was generally characteristic of the "returnees" investors. He also pointed out that in fact there was no buying signals to investors.
Bob Parker, senior adviser in the same Swiss bank, had a similar view. He believes that commodities in general, the basic levels of support and predicts that Brent oil will cost about $ 40 per barrel in the short term and the price can grow up, perhaps to $ 45 to $ 50 per barrel.
The price of Brent crude oil was on its way to a weekly minimum of about 2008, according to Reuters, as the International Energy Agency (IEA) warned of the possibility of strengthening the global overproduction of oil in the new year.
The lack of unity in the OPEC meeting on Friday has caused sharp drops in value at the beginning of the week, and data showing unexpected reduction in the US that led to the small stocks of raw materials for cushioning the fall. Futures for Brent crude oil started the week with a value of about $ 42.90 per barrel and has since dropped by almost 9% during the week.
Misvin Mahesh, an oil analyst at Barclays financial conglomerate, told television channel CNBC, that sentiment is still very focused and directed downwards after the OPEC meeting. Nevertheless, he believes that the way out of the oil-producing group is near its peak, and noted that non-OPEC supply also projected to decline next year.
"Things can not be as bad next year as it expected the market", - he said.
"Next year, Brent expects trading between $ 50 and $ 60 per barrel, and this is mainly due, we think, with prices what they are. "