FX.co ★ Oil attempts to rise despite lack of bullish factors

The sentiment in the oil market has been quite positive these days. Oil quotes have been growing steadily, with benchmark grades reaching their new highs. However, it is not clear whether crude prices will manage to sustain this bullish momentum for a long time. Recently, the price of Brent oil has rallied above $40 per barrel, while American WTI crude exceeded the level of $37 per barrel. Surprisingly, the rise in quotes happened amid almost zero factors that could possibly support the prices. First of all, in the next 2-3 years, global passenger air traffic is unlikely to return to the previous levels. At the same time, road traffic is gradually returning to normal. So hopefully, next year, the consumption of gasoline and diesel fuel will recover to the pre-crisis levels. In addition, the steady reopening of economies in most countries worldwide has had a positive effect on oil demand. Therefore, markets have every reason to hope for a further increase in fuel demand and crude prices. However, all this is desperately not enough to ensure positive fundamental changes in the energy market.