Petroleum is one of the key necessities of the human race. Many economic activities, the transportation sector extensively depend on the smooth availability of oil. For the last two years, the entire world has struggled with a pandemic that interrupted economic activities. Now, things have stabilized and the world's oil demand is again reaching new heights as all sectors have started operations in full swing. OPEC is also confident that the world's oil demand is likely to grow exponentially in 2022. The oil market is likely to attain proper support.
The Organization of the Petroleum Exporting Countries takes their decision about production and export after analyzing the political-economical situation. The oil prices have reached their highest point in the last eight years. Tight supply can destabilize the situation, so last year in the month of December, OPEC pledged to raise the level of output. According to some reports, the OPEC experts have expected the oil demand to rise by 4.15 million barrels per day in 2022. The oil use is also likely to surpass the mammoth figure of 100 million barrels per day in the third quarter as per the forecast. The economic growth is likely to be robust as economic activities have attained momentum in almost all countries.
The governments of several countries are trying to control inflation by taking necessary steps. However, any such step is unlikely to disturb the oil demand as per the experts of OPEC. Now, more drivers are back on the roads and more aircrafts are flying in the air, all these factors have boosted the fuel demand. The financial experts are taking precaution that the monetary actions are not harming the global economic momentum in any manner. The OPEC experts admitted that governments in most countries are trying to stabilize the overheating of economies, and such actions are completely justified. In 2022, the oil demand will touch the pre-pandemic levels. It was in 2019 when the world was last using over 100 million barrels per day.
After the report was issued, the cost of oil was almost $88 a barrel, which is higher since October 2014. The OPEC+ is committed to enhance the output by 400,000 barrels per day. The traders watch how the oil market is performing and what the volume of demand is. Many commercial organizations are eager to make big profits, and such sentiments are also giving a major boost to the oil industry. The Brent crude futures also made a gain of 1.2% or $1.03, touching the figure of $87.51 a barrel. Many OPEC sources are claiming that oil prices could touch $100-per-barrel in the near future.
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