Brent pares gains after crossing $89

Oil drilling rigs

Brent crude pared gains on Wednesday, after exceeding the $89 a barrel barrier amid geopolitical tensions in Europe and the Middle East.

OPEC+ is falling short of hitting their production quotas and if geopolitical tensions continue to heat up, Brent crude might not need much of a push to get to $100 a barrel, Reuters reported, citing OANDA analyst Edward Moya.

Despite geopolitical tensions and the Omicron outbreak, OPEC kept its forecast for global oil demand at 100.8 million barrels per day for 2022.

Elsewhere, the White House said that the Biden administration is working with oil-producing countries to ensure supply rises to meet demand, as prices surge to the highest level in seven years.

Brent crude futures rose 1.19% to $88.55 a barrel at 9 am Makkah time. The benchmark contract climbed to as much as $89.05, its highest since Oct. 13, 2014.

US West Texas Intermediate (WTI) crude futures climbed 1.3% to $86.52 a barrel. WTI earlier jumped to a high of $87.08, its highest since Oct. 9, 2014.