Brent crude exceeds $60 for first time since 2020

Global oil prices are rising on Feb. 8 morning on optimism around the recovery in demand in the market, and the price of Brent crude rose above $60 per barrel for the first time since Jan. 29, 2020, according to trading data, Report informs, referring to Bloomberg.

As of 9:25 (GMT+4), the price of April futures for North Sea Brent crude oil blend grew by 0.77 percent - to $60.01 per barrel, March futures for WTI - by 1.18 percent, to $57.53 per barrel.

Improving demand prospects for oil as coronavirus vaccines are rolled out worldwide on Feb. 8 push oil prices to new highs. More countries are approving vaccines from different companies for use. Bidders hope that lower rates of COVID and the lifting of quarantine restrictions will bring oil demand back to pre-pandemic levels.

"The fundamental picture of demand improvement and discipline on the supply side suggests there is clear upside for the market. OPEC+ discipline has been a key to the gains," said Michael McCarthy, chief markets strategist at CMC Markets Asia Pacific in Sydney.

Speaking about the proposal, the analyst noted the strict implementation by the OPEC+ countries of the agreements on production cuts. The OPEC+ deal was launched in February, according to which several countries agreed to further cut production by a total of 1.425 million barrels of oil per day, of which 1 million falls on Saudi Arabia.