Brent crude oil will go above $100
Brent crude oil, the global benchmark, could surge above $100 barrel according to a note released by Bank of America on Friday.
It would be the first time at such a level since 2014.
JPMorgan Boosts Brent Year-End Target to $84/Bbl From $78; Goldman is at $90, BofA sees > $100— zerohedge (@zerohedge) October 1, 2021
JP Morgan and Goldman Sachs have set their targets at $78 and $90 respectively as tightness in the global natural gas market could lead to upward pressure on crude oil.
Higher oil prices could lead to a fresh bout of inflation which may cause a “macro hurricane”, according to BofA analysts led by Francisco Blanch.
A colder than normal winter could push Brent crude above $100 per barrel according to Francisco Blanch of @BofA_Business. He worries that climbing #energy prices could lead to widespread global economic problems.— The Exchange (@CNBCTheExchange) October 1, 2021
$@cl.1 $@lco.1 $@ng.1 $@rb.1 pic.twitter.com/0eQHBAFNbp
OPEC+ will meet on Monday as it winds down its record output cuts after the organisation tried to prop prices up by reducing oversupply.
Brent is up by over 50% this year having reached its three-year high of $80.75 on Tuesday.
Star stock selector and founder of ARK Invest, Cathie Wood, tweeted out her long-term bearish view on oil on Thursday evening.
According to the EIA, global oil demand peaked at 101 million barrels per day (mbd) in 2019, dropped to 92 mbd during the coronavirus crisis in 2020, and has rebounded to 97 mbd in 2021. Based on our forecast for EV sales, @ARKInvest believes that oil demand has peaked. https://t.co/jLNkvYi22i— Cathie Wood (@CathieDWood) October 1, 2021
“Based on our forecast for EV sales, @ARKInvest believes that oil demand has peaked,” said Wood.
The rise in oil prices this year is a function more of supply than demand. At the turn of the 20th century, whale oil faced the same fate and whale oil prices fluctuated dramatically. If @ARKInvest’s research is correct, oil prices will suffer the same fate as whale oil prices.— Cathie Wood (@CathieDWood) October 1, 2021