“There are fundamental factors that pushed the price of oil up throughout 2021 and into early 2022.
This is a growing supply shortage because consumption is recovering, even growing globally.
More or less quarantine restrictions are being canceled due to the pandemic, people are starting to move more, ”the expert added.
In addition, as the specialist noted, winter is ending, the car season is starting in different countries, in Europe, including the USA.
“Therefore, the consumption of petroleum products is growing.
We see that two years of underinvestment in the oil industry is taking its toll and many OPEC+ countries, for example, cannot increase production when their quotas allow it,” Yushkov said.
He also noted that the geopolitical tension around Russia also adds to the nervousness of the markets, which affects the rise in prices.
“Because it is not clear what sanctions against Russia will be, whether there will be any bans on the issue of buying Russian oil and gas ... Therefore, on this nervousness, everyone prefers to stock up on futures, so they are getting more expensive,” the RT interlocutor concluded.
He stressed that while there is no certainty in the issues of sanctions and Russia's response to them, most likely, the price will be fixed at a level above $100 per barrel.
Earlier it became known that the price of April futures for Brent crude oil exceeded $103 per barrel for the first time since September 3, 2014.