Experts expect prices to come back petroleum minerals to cross $100 in the new year, after the significant decline it has seen in recent months. The optimistic forecast comes despite fears of a recession in Western economies, especially the European economy, as well as concerns about the economy of China, the largest energy consumer in the world.
And the expectations of the Organization of the Petroleum Exporting Countries “OPEC” in its latest report are on the rise global demand On crude oil in the new year 2023, an average of about 2.25 million barrels per day.
In this regard, Canadian BCA Research Corporation’s chief commodity and energy strategist Bob Ryan expects the average price of Brent crude oil in the new year to reach $115 a barrel as China’s reopening economy ramps up again. the demand for oil.
Some analysts are betting on 3 main factors that will lead to the return of the oil price above $100, including the repercussions of the sanctions imposed on Russian oil and gas.
For his part, Canadian Financial Post partner and senior portfolio manager Eric Nuttall said oil prices would return to $100 a barrel in 2023.
Many energy analysts believe that the headwinds that have lowered oil prices this year, including China’s anti-coronavirus policy and the coordinated release of strategic oil reserves by several governments, may not be present in 2023.
In the same regard, some analysts are betting on three main factors that will lead to the return of the oil price above one hundred dollars, and these factors are the repercussions of the sanctions imposed on Russian oil and gas on the supply of oil in international markets, and the success of the reopening of the Chinese economy after the first quarter of this year. And thus the recovery of demand for petroleum derivatives in the world’s largest oil importing country, in addition to the high demand for oil in India, which is one of the most important countries after China in the movement of oil prices.
Bank of America expects Brent crude to quickly surpass $90 a barrel in the new year on the back of a cautious approach by the US Federal Reserve and a “successful” economic reopening by China.
According to Bank of America estimates, Brent crude oil prices will reach $100 a barrel in 2023, thanks to a recovery in Chinese oil demand.
Brent crude oil prices, currently trading at $77.93, will average $100 a barrel in 2023, according to Bank of America estimates, thanks to a recovery in Chinese oil demand, along with a decline in Russian supplies. about one million barrels per day.
Bank of America expects OPEC+ to fully implement a two million barrel cut in an effort to boost oil prices.
Goldman Sachs had expected Brent crude to rise to $110 a barrel in the new year, but lowered that expectation in its latest report.
