Besides stimulus expectations, the market also has been boosted by progress on coronavirus vaccines that have raised hopes for earnings growth in 2021 and beyond.
“Oil’s fundamentals are looking strong again on both supply and demand side,” said Edward Moya, analyst Oanda trading group. Axistrategist Stephen Innes said the inoculation drive provides the ultimate recovery safety net that will allow people to participate in all those pre-Covid activities like the simple pleasures of going to a movie or having a meal out.
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