Brent crude oil continued making gains Tuesday, jumping above $80 a barrel, a first in nearly three years. The rise in value is attributed to escalating concerns about surging demands and supply anxieties as the world is emerging from the COVID-19 pandemic.
With governments easing restrictions and lockdowns and vaccines rolling out, more and more are betting on oil, with natural gas being at its highest in seven years.
At the same time, crude stockpiles have decreased as output by OPEC and other major producers, such as Russia, have been unable to cover the increase in demand.
Brent made a 0.9% gain in morning Asian trade, rising to $80.24, the highest it has been since October 2018. West Texas Intermediate also made a 0.9% gain, rising to $76.07.
These gains come even as the global economic recovery slows down due to supply and demand issues and the Delta variant, which is leading to a surge in COVID-19 cases in many countries across the world.