Oil prices have hit a four-year high of over $81 (£62) a barrel, up 3% on the day. Some analysts are drawing comparisons to the oil prices in 2008 and thinks it is becoming increasingly likely that we will see a significant oil spike this year. Some even suggesting $100 a barrel is a distinct possibility. Today’s Brent price is 200 per cent higher than the all-time low of $27 a barrel in January 2016.
The rise in price comes after Saudi Arabia and Russia appeared to reject calls from the USA to increase oil production with a sanction of Iranian sanctions looming. Commodity traders Trafigura and Mercuria have predicted that Brent crude prices could rise to $90 a barrel by December and pass $100 in early 2019.