Oil expert Tom Kloza's bearish days are behind him.
"Anything that's between $70 and $100 [a barrel] right now doesn't represent hyperbole," he said recently on CNBC's "Futures Now."
The Oil Price Information Service [OPIS] global head of energy analysis blamed fresh geopolitical tensions for his bullish forecast — citing a potential U.S. military response if Iran resumes its nuclear program, Venezuela's oil production nose diving and "spectacular" global demand.
"It's been very bland geopolitically for the last few quarters before this quarter," noted Kloza, who shed his bearishnessabout six weeks ago.
Since the first quarter ended on March 31, WTI crude oil has surged almost 9 percent to $70.70 a barrel, based on Friday's close. That level puts oil prices around 3 year-highs. ICE Brent oil, which settled at $77.02 a barrel, is seeing a similar pattern.
Kloza believes there's little to prevent Brent oil from reaching beyond the range of $80 a barrel. He suspected crude will trail behind Brent prices due to lower prices in the actual shale oil fields.
Reference: CNBC
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