In light of current developments in the global oil market, crude prices may soon reach $150 per barrel. This could happen should oil hit a new record high. So far, crude’s all-time high has been at $147.5 per barrel.
Bank of America projects that Brent crude may push above $150 per barrel. A sharp decrease in Russin oil supplies is seen as the main driving force for oil prices. However, if Russian fuel exports stay firm and the European Union decides to remove the embargo at some point, Brent could fall to $104.48 per barrel in 2022 and to $100 per barrel in 2023.
Demand for oil has dropped by 1.5 million barrels per day this year amid soaring fuel prices and supply shortages. Demand could be restored should oil production in Russia remain at about 10 million barrels per day and OPEC supplies increase, analysts said.