The investment bank UBS forecasted that the oil market will experience a supply deficit of about 1.5 million barrels per day throughout 2021.
The bank stated that it expects Brent crude to reach $63 per barrel in the second half of 2021, noting that due to stronger demand for oil and OPEC+'s vigilance regarding supply increases, the oil market is set to record a supply deficit in 2021. As for gasoline, demand is expected to be high at over 2 million barrels per day, diesel around 1.5 million barrels per day, and jet kerosene at about 1 million barrels in 2021. Citibank, in its report, noted that the average price of Brent crude is expected to reach $59 per barrel in 2021, compared to the previous forecast of $54 per barrel. Goldman Sachs indicated that Brent crude prices could rise to $65 per barrel by the summer of 2021, driven by production cuts in Saudi Arabia and the transition of power to the Democrats in the United States.
