The widely followed energy analyst is often ahead of the curve, including in early 2020 when he warned that oil prices could dip negative.
And if there's a recession, less economic activity should lead to even lower oil prices.
However, higher oil prices would further weigh on demand from consumers and businesses, which raises the risk of causing — or worsening — a recession.
Paul Sankey, Sankey Research (based on Bloomberg data)Although refining margins have downward momentum, Sankey said a long oil market drawdown isn't necessarily a foregone conclusion.
Geopolitical tensions are an increasingly serious threat, JPMorgan CEO Jamie Dimon has recently warned, and a sudden conflict breakout could cause oil prices to surge.
Persons:
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