Morgan Stanley lowered its forecast for the price of Brent crude oil for the first quarter of 2022 to $ 82 a barrel from $ 95 a barrel, amid fears of a drop in demand for crude oil with the outbreak of the new Corona mutant, Omicron.
On the other hand, the bank raised its forecast for the price of crude oil in the third quarter of next year to $ 90 a barrel from $ 85, pointing out that the market could see a growing supply deficit in 2023.
Oil prices reduced their earnings, with Brent crude in 3% increase to $ 74.92 per barrel US crude rose 3.9% to $ 70.85.
Oil prices continued to rise Monday, offsetting some losses after falling by around $ 10 a barrel on Friday, as investors sought deals but remained cautious with a focus on the Omicron coronavirus and Iran nuclear deal negotiations.
Oil prices, along with other financial markets, plunged more than 10% on Friday, their biggest one-day drop since April 2020 after the new strain sparked concern among investors and heightened fears that the oversupply may grow in the first quarter.
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