Oil prices are likely to hit $150 a barrel this summer season, the global head of commodities research at Goldman Sachs said on Monday, as tighter supplies outweigh weakening demand.
I would suggest that the likelihood of that happening sooner has increased tremendously ... sometime in summer," Jeffrey Currie told an oil and gas conference in Kuala Lumpur, the Malaysian capital, referring to oil at $150 a barrel.
Goldman Sachs the most active investment bank in energy markets and one of the first to point to triple-digit oil more than two years ago -- a once unthinkable level -- said last month oil could shoot up to $200 within the next two years as part of a "super spike."
The predictions of crude going higher still has sparked a lot of comments from Fast Money viewers. Alan B. writes, "Of course the rise in price of oil is a scam led on by speculators. How do you explain the double in the past year. Its certainly not demand although demand may account for 10-20% of the increase. Its the hype."
Eric O. hold a very different opinion. "Would people please stop be naive and blaming speculators for the rise in oil prices. No one blamed speculators for outrageous home prices when they skyrocketed. Govt regulation in oil would more than likely cause further increases in the price... if individuals want prices to drop increase the oil supply. Less environmental regulation would definitely help in increasing the supply. "
That leads to our Fast Money Reader Poll. Do you think the high price of crude is strictly an issue of supply and demand?
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