Saturday’s release of the Saudi Arabia official selling price (OSP) for ArabLight to Asia confirms OPEC’s strategy u-turn in no uncertain terms. The drop in prices may well take a month or even several months but the direction is clear, in the opinion of analysts at Deutsche Bank. They expect crude oil prices to nosedive. Key quotes “We think previous lows will be exceeded, with Brent USD 19/bbl as a near term target. The decline of 43% in Brent from USD 108 to 46/bbl took 6 months.” “We expect Brent prices to drop below USD 40/bbl relatively soon and incoming months, risks have risen of surpassing the 2016 low of USD 27/bbl.” “We prefer short oil long vol strategies with a six to 12 month horizon, bear futures calendar spreads, or short Jun 2022 futures contracts, which now benefit from a strongly positive roll yield (~5%).” “A similar reduction in US oil output today would likely require WTI prices to fall below USD 30/bbl and could take more than a year.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next AUD/USD is still seen under pressure – UOB FX Street 3 years Saturday’s release of the Saudi Arabia official selling price (OSP) for ArabLight to Asia confirms OPEC’s strategy u-turn in no uncertain terms. The drop in prices may well take a month or even several months but the direction is clear, in the opinion of analysts at Deutsche Bank. They expect crude oil prices to nosedive. Key quotes “We think previous lows will be exceeded, with Brent USD 19/bbl as a near term target. The decline of 43% in Brent from USD 108 to 46/bbl took 6 months.” “We expect Brent prices to drop below USD 40/bbl relatively soon and incoming… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.