According to the forecast of the largest bank Goldman Sachs, the average price of Brent crude will remain at $ 82.5 per barrel in the third quarter of 2018.
Analysts reiterated the bullish long-term price trend despite a decline in prices. There were signals from Russia and Saudi Arabia indicating easing production limits.
On May 28, July ICE Brent crude futures fell by $1.62% to settle at $75.20/b, while the August Brent crude declined by 1.56% to $75.28/b. Goldman Sachs highlighted the risks of a further rise in prices in the second half 2018 and further in 2019.
According to analysts' estimates, the recent drop in oil prices was an excuse for hedge funds that were reluctant to bet on the oil rally. Hedge funds and other money managers reduced their net long position in Brent futures and options by 8.6% to 501,634 contracts. That was the biggest decline in almost a year.
Money managers’ net-long position in West Texas Intermediate crude fell by 2% to 377,520 futures and options, the lowest since November 2017, according to US Commodity Futures Trading Commission (CFTC).
