Oil’s Fundamental Value Is $65 to $70: Black Gold CEO

The video discusses the dynamics of oil market surplus and deficit, highlighting the expected trends for the upcoming year. It examines the impact of economic indicators like PMI and central bank policies on oil prices. The discussion extends to equity investments in the energy sector, noting potential undervaluation. Future oil price predictions are made, considering geopolitical risks and economic growth. The video also explores the potential for growth in emerging markets and the implications for oil supply and demand, particularly focusing on US shale production.

What is the typical pattern of oil supply throughout the year?

• Deficit throughout the year

• Deficit in the first half and surplus in the second half

• Surplus in the first half and deficit in the second half

• Constant supply throughout the year

Why are energy stocks considered undervalued compared to other equities?

• They are less affected by economic downturns

• They have been beaten down and show value

• They have high growth potential

• They are generally considered rich

What factor contributed to the oil price being $7 below its fundamental value in November?

• High geopolitical risk

• Weak economy and strong dollar

• Decreased supply

• Increased demand

What is the expected impact of US shale production on oil supply next year?

• It will decrease by about 800,000 barrels a day

• It will increase by about 800,000 barrels a day

• It will remain flat

• It will decrease significantly

What is the anticipated economic condition in emerging markets next year?

• Stagnant growth

• Potential for upside surprise

• Severe recession

• No significant change