The latest view from Julius Baer is that the oil price will stay lower for longer.
Christoph Riniker Julius Baer
So says Christoph Riniker who’s Head of Equity Strategy Research at Julius Baer: “The outlook for oil prices remains unchanged − we believe that the oil price will stay lower for longer. This implies a missing driver for the energy sector going forward.”
He continues: “The current sector underperformance can thus be explained by the missing oil price driver as well as by depressed earnings expectations. We do not expect a reversal of these two factors in the near future and have thus downgraded the sector to underweight.”
