23 February, 2021
Oil prices rose on Tuesday, underpinned by the likely easing of COVID-19 lockdowns around the world, positive economic forecasts and lower output as U.S. supplies were slow to return after a deep freeze in Texas shut down crude production. Goldman Sachs expects Brent prices to reach $70 per barrel in the second quarter from the $60 it predicted previously, and to $75 in the third quarter from $65 earlier. Morgan Stanley expects Brent crude prices to climb to $70 per barrel in the third quarter. Disruptions in Texas caused by last week’s winter storm also supported oil prices. Some U.S. shale producers forecast lower oil output in the first quarter. Stockpiles of U.S. crude oil and refined products likely declined last week, a preliminary Reuters poll showed on Monday.