Crude oil price has continued its rallying as the International Energy Agency (IEA) calls for the halt of all new energy exploration projects. The proposal is in line with the set target of net zero CO2 emissions by 2050. On the one hand, IEA’s Net Zero report is neither a recommendation nor a prediction. However, its reports are often influential when the government is formulating an energy policy.
Optimism on the recovery of global oil demand has been offering support to crude oil price. With more economies reopening in Europe, the bulls are looking past the lowered demand in India and other parts of the world. Besides, more of the vaccinated individuals within the US have begun traveling within and outside the country. On Sunday, 1.85 million passengers passed via the Transportation Security Administration (TSA) in various airports. This is the highest number since March 2020.
Crude oil price has extended its gains as the bulls target $68. At the time of writing, it was up by 0.97% at $66.93. On A four-hour chart, it is trading above the 25 and 50-day exponential moving average. While the targeted level seems to be on the horizon, the bulls need to gather enough momentum to push past the resistance level at 67.50. On the flip side, it may pull back to $66 before getting back on its uptrend.
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