Brent Crude Oil to hit the $120 level by Q3 – ANZ

Brent crude has traded between $100-110/bbl in recent weeks. Economists at ANZ Bank expect the black gold to break higher and reach the $120 mark in the tirhd quarter.

Inventories to drop sharply in Q3

“Oil prices are expected to remain in the $100-110/bbl range through Q2, even if all EU member states agree to a ban on Russia oil. The market will remain sceptical as to the effectiveness of the ban until evidence suggests Russian oil has been fully replaced.”

“With the market looking extremely tight in Q3, we now see prices breaking above the $100-110/bbl range, with our short-term target raised to $120/bbl.”