Why Oil Markets Will Outperform Expectations in 2023

By Goehring & Rozencwajg

After making a 14-year high of $130 per barrel in March, prices have steadily pulled back to $80. Concerns around the security of supply following Russia’s invasion of Ukraine have given way to worries about recession and sagging demand. Oil has nearly given back its entire move higher since the attack took place on February 24th, 2022.

Demand fears are misplaced; we believe supply issues will drive the oil market for the foreseeable future.