Oil prices can start dropping sharply as the world oil storage facilities are almost depleted, making it one more factor for market glut, as stated in the Goldman Sachs’ report, Prime reports.
“The volume of used facilities for distillate storage in USA and Europe is close to its highest level against the almost record load of oil processing plants, weak growth of demand (especially in petroleum)”, - Goldman Sachs analysts report.
“This reminds situations in 1998 and 2009, when the volumes of distillate storage achieved its maximum level, pushing oil prices downward”, added experts.
Goldman Sachs does not expect that demand and supply balance on oil market will be achieved in 2016.
