I posted yesterday on the research note from BoA on oil:
BoA warn that (bolding mine):
- "In short, demand is poised to bounce back and supply may not fully keep up, placing OPEC in control of the oil market in 2022"
Outlining 6 reasons for higher prices:
Three demand factors:
- pent-up demand to move around, holidays and such, after lockdowns and restricitons
- more use of private cars as commuters are slow to return to public transport
- more remote work could result in more miles driven "as work-from-home turns into work-from-car"
Two supply factors:
- US government policy pressure, and around the world, to curb capex to meet Paris Agreement goals & limit CO2 emissions
- investors more vocal about ESG
For the BA forecasts, see that link above.