Global oil market outlook in 2021: The MUFG Global Markets Podcast

It’s easy (and accurate) to present the 2021 oil price outlook as a V-shaped vaccine trade. What is striking about the forward oil outlook is the apparent degree of unanimity (or at least strong consensus). Indeed, the oil market appears to be singing from the same bullish 2021 hymn sheet. What is striking about the forward oil outlook is the apparent degree of unanimity (or at least strong consensus) as we embark on a new year.

Ehsan Khoman, Head of MENA Research and Strategy, offers his insights into MUFG’s oil price outlook and his thesis as to why we are not only resolutely constructive on oil prices in 2021, but in fact above consensus, forecasting Brent and WTI to average USD58/b and USD54/b, respectively in 2021, and ending the year at USD64/b and USD61/b, respectively, with upside risks to our forecasts.

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