Following a very strong week, a slate of bullish news is erasing oversupply fears. In the view of strategists at TD Securities, WTI is likely to trade comfortably above $90 in the coming months.

A surge into triple digits is not yet expected

“The most recent production targets from OPEC+ have very convincingly tilted price risks to the upside, but growing concerns surrounding a weak global economic environment that may sharply cut demand will serve as a mitigating dynamic, preventing crude oil prices from surging in the near-term.” 

“We expect WTI to trade materially above $90 in the coming months. However, a surge into triple digits is not yet expected, as it looks increasingly likely that the decline in global demand growth could offset much of the OPEC+ cut starting in November.”