Today marks the day when the world’s oil prices will hit record highs, according to oil experts.
The Organization of the Petroleum Exporting Countries (OPEC) and the Organization of Foreign Investment in Petroleum Exports (Opec) are expected to release their forecasts at the end of the week.
The price of Brent crude, which is used to price oil, is expected to reach $115 per barrel on Wednesday.
That is more than $30 a barrel higher than last year’s record price of $82.80.
This means oil could hit $140 a barrel or more by the end in the next year, the Opec said.
The rise in prices comes after an almost $2 trillion market cap of more than US$70 trillion.
“The oil market is heading towards record highs,” said Opec Secretary-General Mohamed Alibhai-Mohamed.
The market has been under pressure for a long time.
The oil price was about $80 a barrel at the beginning of the year, but since then has risen steadily.
“I think there is a very high probability that the price will come to a very, very high level,” said Andrew MacDougall, director of global energy markets at Barclays.
“It will hit $130 a barrel within two or three months.”
The Opec expects the price to hit $160 a barrel by the beginning (of next year) as the world enters the “peak” of its production.
“We expect it to reach that level in the second half of the next decade, so there is no reason why we can’t see a peak before the end,” said Alibharhai-Mas.
Oil price rises on day of the US election In November last year, President Donald Trump won the US presidential election.
That gave the world a chance to gauge whether he would be able to pull through on his campaign promise of cutting the US’s deficit in half.
But the US has struggled to come up with an answer to the world financial crisis.
The global economy has seen its growth stall in the last year and the unemployment rate rose to its highest level since 2009.
That has forced many countries to raise taxes.
In recent weeks, the US and other major economies have seen an increase in their borrowing costs.
That will also continue to drive up the prices of crude.
“This is a moment when oil is going to go from record highs to record lows,” said MacDougal.
“And I think that is very likely to happen.”