Oil costs climbed to their highest degree of the yr this week, extending a rally that has put a return to $100 a barrel sharply into focus.

Certainly, some analysts consider crude costs might hit this milestone earlier than year-end.

Worldwide benchmark Brent crude futures traded at $93.90 a barrel on Friday morning in London, round 0.2% increased. U.S. West Texas Intermediate futures, in the meantime, stood at $90.41, nearly 0.3% increased for the session.

Each Brent and WTI settled at their highest respective ranges of the yr on Thursday. The oil contracts are sharply increased month-to-date and stay firmly on observe to notch their third consecutive constructive week.

The worth rally comes amid rising expectations of tighter provide after Saudi Arabia and Russia moved to attract down international inventories and prolong their oil output cuts by way of to the tip of the yr.

OPEC kingpin Saudi Arabia mentioned on Sept. 5 that it might prolong its 1 million barrel per day manufacturing reduce by way of to year-end, with non-OPEC chief Russia pledging to cut back oil exports by 300,000 barrels per day till the tip of the yr. Each international locations have mentioned they may evaluation their voluntary cuts on a month-to-month foundation.

Analysts at Financial institution of America have indicated they now consider oil costs might quickly spike past triple digits.

“Ought to OPEC+ keep the continued provide cuts by way of year-end towards Asia’s constructive demand backdrop, we now consider Brent costs might spike previous $100/bbl earlier than 2024,” analysts led by Francisco Blanch mentioned Tuesday in a analysis word.