Crude oil prices have risen incredibly in 2021 amidst global vaccination, lockdown easing and sustained OPEC+ production cuts.
Analysts all over the world were beginning to speak about a supercycle for oil. Brent crude was gearing towards $70. Big banks in the US like Goldman Sachs and Morgan Stanley all made predictions of a $70 – $75 oil at some point in 2021. Christyan Malek, JP Morgan’s Head of Oil and Gas stated,
“We could see oil overshoot towards, or even above, $100 a barrel.”
On Friday, 19th March 2021, Brent crude settled at $64 and WTI at $61 after a slump of about 7% last week Thursday – basically erasing all the gains made when OPEC+ sustained cuts in early March.