Crude Prices Outlook: Consumers facing expensive petrol and diesel be ready to loosen pockets. Further increase in the prices of petrol and diesel is possible. In fact, the price of crude in the international market is increasing rapidly. Crude has crossed $ 48 per barrel in today’s trade. Experts believe that the recent rise in crude is going to continue. Crude will soon cross $ 50 per barrel in the short term. International agencies believe that Brent crude could show up to $ 60 in 2021.
$ 12 costlier in November
Which step can be taken in Brent crude, it can be gauged from the fact that so far in November, its price has increased by $ 12 per barrel. On October 30, Brent crude was at $ 36.8 a barrel. At the same time, it has now come to $ 48.75 per barrel. At the same time, from the low of 22 April this year, it has increased more than $ 32 per barrel. On April 22, crude fell to around $ 16 due to reduced demand due to lockdown in COVID 19.
The condition of the crude market is improving
The Bank of America (BofA) believes that the condition of crude marquea is improving now in the hope of the vaccine of COVID 19 coming soon. At the same time, the effect of reducing the production cut by OPEC countries is also visible. In fact, now the demand for crude has increased in the hope of getting the vaccine of COVID 19. The economy is expected to strengthen with the introduction of vaccine and reduced fear of corona. In this expectation, there will be demand for crude. Sentiments are improving with respect to this matter.
Secondly, as the economy opens, the travel condition will also improve. The number of people going from one country to another will increase. This will increase the demand for crude at the international level. US Bank estimates that in 2021, crude may touch $ 60.
The fast will continue in the short term
Anuj Gupta, Deputy Vice President, Research (Commodity and Currency), Angel Broking, believes that the short-term rally in crude will continue. Crude may soon cross $ 50 per barrel level. They say that the way the development of the Corona vaccine is coming out, the crude market is getting support. They say that both the development of the vaccine and the reduction in oil production by OPEC are supporting crude oil. Second is that many countries had kept their demand pending, now they are increasing the demand. However, there is a concern that in some countries, cases of COVID 19 are increasing. Another reason is the change of power in America. This is expected to improve America’s relations with Iran. If this happens, Iran’s oil market will improve.
Prices of petrol and diesel may increase
Prices of petrol and diesel are directly related to crude oil. India buys more than 80 percent of its needs from other countries. In such a situation, if crude remains expensive for a long time, then India will have to pay more for the new shipment. In such a situation, crude will also be expensive in the domestic basket, due to which oil companies can increase the prices of petrol and diesel. Let us know that even after crude became cheaper, the prices of petrol and diesel in the country did not decrease. Petrol is being sold up to Rs 90 per liter in some states of the country.