FXStreet reports that strategists at Danske Bank said that OPEC+ has started normalising its oil output, which will ease the upside potential for oil prices from the sound demand backdrop.

“Vaccine roll out, albeit with some bumps on the road, reopening of economies, strong support from monetary and fiscal policy and a relatively weak dollar all creates a sound backdrop for global oil demand. World oil consumption remains somewhat below the pre-pandemic level, but we are confident consumption will fully recover over the coming 1-2 year. We expect OPEC+ to balance the normalisation of output with the ongoing recovery in demand. We expect Brent to average $70bbl in Q3 and Q4 and $72.5bbl in 2022.”