Prices Up on Demand Optimism

摘要

Oil prices rebounded alongside hopes for a strong demand recovery post pandemic. International benchmark Brent gained $3.16 per barrel to end the week at $68.56/bbl, while US domestic price-pin West Texas Intermediate put on $3.58/bbl to close at $65.01/bbl Thursday. Both are within touching distance of recent oil market peaks. A round of bumper first-quarter earnings reports for large producers also enthused investors, who brushed off pledges by many oil and gas firms to target net-zero emissions to focus on the post-viral demand boom. Royal Dutch Shell CFO Jessica Uhl described demand for oil and gas and the macroeconomic environment as 'really a mixed bag' on an Apr. 29 earnings call, noting that it depends on the type of product, the sector and the country. She said that while demand in China looks strong across the board, Shell is seeing softness in other parts of the world, such as India and Brazil, and in sectors such as aviation.