Oil Likely to Cross $60, Says Barclays

Crude oil may exceed $60 a barrel this year as demand rises in China and the US and hurricanes threaten to reduce Gulf of Mexico production, according to Barclays Capital.

Also, slowing growth in Russian oil output this year will lead to an outright decline in 2006 from the country, further increasing concern about supply, said Barclays analysts Paul Horsnell and Kevin Norrish in an e-mailed report. A drop would mark the first in seven years in Russia, second only to Saudi Arabia in world oil production.
The Financial Express