Brent Crude Oil rose to the highest level since 2014, with the global benchmark approaching $90/b early on Wednesday. Strategists at TD Securities expect to see further gains to $100/b.

More upside possible

“The market is pricing in the risk that there will be some sort of geopolitical event on the Ukraine-Russian border, which may trigger a set of sanctions which could reduce Russian natural gas and oil supplies available to global markets. Lower US production is also supportive.”

“Now that the IEA and other forecasters are projecting a stronger-than-expected demand trajectory for crude, while supply may be reduced due to conflict in Eastern Europe, the oil market could still move higher.” 

“Given the current technical setup, we reiterate that it would not take much on the supply or demand front to send benchmark crudes on a path toward $100/b, should evidence point to chronic deficits into 2022 and risk appetite remains firm.”