Brent crude futures extended early losses falling over 2% to around $41.9 a barrel on Wednesday, after latest data from the EIA showed US crude oil inventories fell by 1.001 million barrels in the week ended October 16th, slightly less than market expectations of a 1.021 million barrels. Meantime, figures from the API released on Tuesday showed crude oil stockpiles in the US unexpectedly rose by 0.6 million barrels last week, compared with forecasts of a 0.2 million drop. Concerns about fuel demand recovery persist as the number of coronavirus infections continue to spike worldwide. At the same time, Baker Hughes said that the demand recovery is beginning to level off and significant excess capacity remains, which could create volatility in the future.
Historically, Brent crude oil reached an all time high of 147.50 in July of 2008. Brent crude oil - data, forecasts, historical chart - was last updated on October of 2020.
Brent crude oil is expected to trade at 40.74 USD/BBL by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 35.25 in 12 months time.