$70 by the end of the year? Someone thinks so. John Kemp tweeted it.
I am posting this only to help me keep backwardation and contango "straight" in my mind (a nice definition at this post).
Oil prices are not capped around $55 as is widely assumed but rather are on track to hit $70 per barrel later this year, according to Pierre Andurand, managing partner at Andurand Capital Management.
We're currently at a crossroads from where oil prices should significantly rebound, Andurand told CNBC on the sidelines of an event Thursday evening where he was crowned the winner of the EMEA Investor's Choice Awards for 2017.
"I think oil prices are likely to recover to around $70 … I think the market will switch to backwardation – sustainable backwardation – by late summer and that will bring the next wave in oil prices," he said, referring to the situation where nearer-term spot price oil contracts are more expensive than longer-dated forward contracts.
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2017 Geico Rock Award Nominee
Take you pick, but for this one I will nominate ABC News. The network seems surprised that Jared and Ivanka Trump are (really) wealthy. So are Bill Gates, Jeff Bezos, and Warren Buffett, Elon Musk, Bernie Sanders, among many, many other democrats.
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