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Mike Muller, head of Asian operations at Vitol, the world’s biggest independent oil trader, urged caution against the recent oil price-rally, noting that it’s driven by the vaccine euphoria and faith in OPEC in an interview with Dubai-based consultant Gulf Intelligence.

“The market is getting ahead of itself in terms of a post-vaccine euphoria but also continued belief in the ability of OPEC to manage supply,” Muller said.

Additional quotes (via Bloomberg)

“Vaccines have been rolled out faster than energy markets predicted and China’s oil demand has rebounded rapidly.”

“But a full recovery depends on consumption elsewhere picking up.”

“The onus is on the rest of the world to start with the demand catch-up because China can’t consume much faster than it’s already been doing.”

“It’s already outstripping its 2019 numbers and growing at a phenomenal pace beyond most people’s expectations.”

Separately, Gunvor Chief Executive Officer (CEO) Torbjorn Tornqvist said Friday, the surge in oil prices above $60 appears unlikely as that would prompt energy companies to increase production.