As Global Demand Climbs, Is $100 Oil High Enough?

With demand rising in the United States and forecasts calling for robust increases in crude consumption globally through 2022, more analysts are betting that oil prices this year could exceed $100/bbl.

Bank of America (BofA) and Morgan Stanley analysts both said they expect Brent crude, the international benchmark, to reach triple digits in 2022, as producers gradually raise output in the face of mounting demand. Brent recently touched $88.

Morgan Stanley analyst Martijn Rats said stockpiles of crude are expected to dip lower this year after sliding in 2021. He noted robust demand and waning investments in new drilling as producers shift more attention to renewable energy sources. As a result, he said in a note to clients, crude prices are expected to reach $100 in the second...