Oil prices close to $100, global central banks face pressure to raise interest rates

Oil prices are approaching $100 per barrel again, and the Federal Reserve, Bank of England, Bank of Japan, and European Central Bank are facing energy driven inflationary pressures. The market expects central banks in multiple countries to take interest rate hikes in September. Emkay Global's Madawi Alola stated that the rebound in Brent crude oil is driven by multiple supply tightening factors, including zero shipping through the Strait of Hormuz, global inventory depletion, restricted fuel exports from Russia, and reduced production from Kazakhstan.