Oil likely to hit $100 a barrel, say top commodity traders – FT
|As WTI jumps to the highest since 2019, above $72.00, the Financial Times (FT) conveyed top commodity forecasters’ expectations from the oil prices.
The reporter reached to executives from Vitol, Glencore and Trafigura and Goldman Sachs while writing on Tuesday, “$100 crude was a real possibility, with prices already reaching their highest level in two years.”
“The prediction comes at a time when concern about inflation is rising and many commodities, such as copper, have already reached record highs, boosted by supply shortfalls as the economic recovery gathers pace,” added FT.
While describing the broad energy price moves, the FT said, “Oil has not traded above $100 a barrel since 2014, when a surge in supplies from the US shale sector brought the last so-called supercycle to an end. At the start of this century, oil prices rallied from near $10 a barrel to reach above $100 in 2008, boosted by growing Chinese demand. Prices, while volatile, averaged around $100 a barrel for the next six years.”
Elsewhere, the Associated Press (AP) came out with the headlines suggesting that the US Federal judge blocks President Joe Biden's administration's suspension of new oil and gas leases on federal land and water.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.