Brent crude futures recovered above $72 per barrel on Wednesday, after dipping to 3-month lows below $68 in the previous session, as investors await an OPEC’s response to the threat of the Omicron variant to fuel demand. OPEC will meet on Wednesday ahead of another meeting with its allies on Thursday. The group is widely expected to pause plans to add 400,000 barrels per day of supply in January due to demand and supply factors, with the new variant prompting fresh travel curbs and after major consumers released emergency reserves. However, a Reuters survey found that even if the group decides to go ahead with the planned supply increase, it may struggle to add much due to capacity constraints. Meanwhile, data from the American Petroleum Institute showed that US crude stocks declined less than expected while gasoline inventories rose despite expectations for no change.
Historically, Brent crude oil reached an all time high of 147.50 in July of 2008. Brent crude oil - data, forecasts, historical chart - was last updated on December of 2021.
Brent crude oil is expected to trade at 70.99 USD/BBL by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 65.60 in 12 months time.