Will Oil Hit $100 This Year? Oil’s rally to above $70 a barrel has spurred talk of $100 oil—an unthinkable outlook at this time last year when economies and global crude demand were reeling from the pandemic. But now recovering demand and still tight supply are supporting oil prices and fueling forecasts that there is a chance we could see $100 oil again, for the first time since 2014.
Several factors are supporting this very bullish view on oil right now. Global crude oil demand is expected to surge, in the biggest jump ever over the next six months, as Goldman Sachs said earlier this year. Worldwide consumption of oil is expected to nearly reach pre-pandemic levels in the fourth quarter this year and to exceed 2019 demand in 2022, setting a new record for annual global oil demand. The economic rebound around the world, combined with easing or end of COVID-related restrictions, including for travel, is set to incentivize demand for fuels and petrochemicals