Crude oil prices can hit $100 a barrel in 2022, say analysts

Crude oil market, according to Goldman Sachs, is pricing in a far larger demand hit than during Delta - equivalent to no planes flying for the next three months

Crude oil prices are likely to hit $100 a barrel by 2022-end – up around 35 per cent from the current levels – despite the demand disruption, if any, caused by the Omicron Covid variant, believe analysts. The impact of omicron, if it spreads wildly, will most likely be felt in the first half of 2022, as governments tighten measures to contain the spread of the new variant, analysts said. However, any lockdowns are likely to be localised and more targeted, and oil demand impact is likely to be more modest than before.

“Oil demand which briefly touched pre-Covid levels