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In its «Shocking Predictions» for 2024, released on December 5th, Saxo Bank forecasted an increase in oil prices to $150 per barrel. Saxo Bank traditionally publishes these bold forecasts for the global economy at the end of each year, which are often taken with a grain of salt and seen as tongue-in-cheek to entertain the audience. After all, the Danish bank describes scenarios that at first glance seem utterly improbable, with the caveat that should they occur, a colossal shockwave could hit the markets.

 

However, some of these predictions occasionally come true – "black swans" do appear, and scenarios once deemed unlikely unfold. Predicting what exactly will influence the oil price volatility in the coming year is incredibly difficult, as not even the recent OPEC+ decision to further cut production from the new year was able to push prices up.

 

But credit must be given to the bank for the absolutely precise title of its shocking forecast for 2024 – «The End of the Road». The direct path the world has been on since the Great Financial Crisis of 2008, with stable geopolitics, low inflation, and low-interest rates, was first disrupted during the pandemic years. By 2024, it becomes clear that this direct path is coming to an end, sending the world into a dangerously uncertain future. We are approaching the definitive conclusion of the ‘old normal".

 

Therefore, my main wish for you today, dear readers, is to find your place in this new reality. Merry Christmas and a Happy New Year!

 

Respectfully,
Oleg Chervinskiy,
Publisher