In its weekly energy research Bank of America has expressed an opinion that Saudi Arabia could reduce the oil price to $85.00 per barrel by increasing the volume of production for economic and political reasons. Among the arguments in favor of this opinion Bank of America mentioned strengthening of pressure on Russia, budget of which depends on oil export and which will force Russia to de-escalate crisis in Ukraine.”
The experts also mentioned that Saudi Arabia is threatened by Islamic State and the western and Arabic countries are going to create the coalition to struggle against the terrorists.
“Withdrawal of the US troops from the hot spots around the world lately has led to vacuum of power. Islamic State will fill this vacuum. We believe that Saudi Arabia and other countries of the region could use US assistance to protect their borders from the Caliphate. What could Arabic countries offer in exchange for the US assistance? Reduction of prices,” reads the research.
