As at 7:31pm yesterday, the Brent Crude, which is the International Oil benchmark, rose by 5% to $66.73 per barrel, following a report from the International Energy Agency (IEA) and United States Inventory Data respectively, which boosted optimism about returning demand after the coronavirus lockdowns.
A senior analyst at Price Futures Group in Chicago, Phil Flynn, while reacting to the development said, “All in all, it was a very supportive report. It really looks like we’re getting a return to some more solid demand numbers and that should keep us going.”
Also reacting to the development, John Kilduff, partner at Again Capital in New York, said, “That IEA report is one of the best ones we have seen them publish in a while in terms of being optimistic about the continued rebound in demand.”
Similarly, the Organisation of the Petroleum Exporting Countries on Tuesday raised its global demand forecast by 70,000 bpd from last month’s forecast and now expects global demand to rise by 5.95 million bpd in 2021.