Bullish sentiment is well and truly back in oil markets, with Brent breaking $80 and WTI trading at $77.46.
Oil prices have started the year rallying aggressively, with Brent breaking $80 per barrel for the first time since October 7 last year. The rally has been driven by the Biden Administration’s eleventh-hour sanctions on Russia, cold temperatures across the Atlantic Basin, widening backwardation in all crude futures, and continued concerns about inflation. For the first time in months, the oil market is feeling very bullish.