- Crude oil prices are on track for their fourth consecutive weekly gain. The Feb ’22 contract is up by $3.46 or 4.4% on the week
- Oil prices have continued to recover this week as global consumption proves resilient, despite the Omicron variant
- The EIA reported a 4.5-MMBbl draw this week, which now places inventories at their lowest level since 2018
- The U.S. Dollar also weakened by around 1% this week, with the DXY falling from 95.8 to 94.8
- Risk of supply shortages in the crude oil market are growing – ABN Amro
- The bank says global spare oil reserves have fallen to 2 MMBbl/d versus 6 MMBbl/d in early 2021
- The risk of rising prices has increased over the next five years as demand growth exceeds supply growth
- Most of the demand growth is expected to come from emerging markets