Oil hits one-month highs as IEA, OPEC raise forecasts | Reuters

Oil hits one-month highs as IEA, OPEC raise forecasts | Reuters

Oil prices rose on Thursday to the highest level in nearly a month, after jumping 5% in the previous session, driven by increased demand forecasts from the International Energy Agency (IEA) and OPEC as major economies recover from the pandemic.

Brent crude was up by 16 cents at $66.74 a barrel by 0659 GMT, after reaching $66.94 earlier, the highest since March 18, and gaining 4.6% on Wednesday.

U.S. West Texas Intermediate futures rose 12 cents to $63.27 a barrel, earlier rising to $63.48, also the highest since March 18. The contract rose 4.9% in the previous session.

Supply discipline and rebounding economies are set to give oil a chance to break out of the recent range, Goldman Sachs analysts said in a report.

“We remain positive on Brent oil forecasting US$80/bbl in 3Q21 on a near-term demand recovery and supply discipline,” Goldman analysts said.