Brent crude breached $80 a barrel on Monday — its highest level since November 2014 — on the back of a tightening oil market and OPEC leaders signaling they won’t be immediately boosting output.
Oil futures in London jumped 2.7 percent while some traders predicted the risk of prices exceeding $100 a barrel.
J.P. Morgan wrote in its latest market outlook that “a spike to $90 per barrel is likely” in the coming months thanks to U.S. sanctions on Iranian oil exports, which have fallen dramatically in recent months as importers brace for the impending penalties. The bank forecasts Brent and WTI prices to average $85 and $76 per barrel, respectively, in the next six months.
