This week, oil prices rebounded strongly as concerns about COVID-19’s omicron variant abated and there is expected to be an increase in demand. However, analysts remain unsure if OPEC and its allied countries will meet their new output targets. Oil prices have posted their highest weekly gain in a week since August. JP Morgan analysts predict that oil prices could rise in 2022. ConocoPhillips (NYSE) and Suncor(SU), both fundamentally sound, are good bets. These stocks are buy-rated in our proprietary rating system.With pressure from oil consumers in the United States, the OPEC+ cartel’s decision to increase oil supply seems to have paid off, as oil prices are stabilizing. As fears over the COVID-19 Omicron variant have subsided, oil prices are steady at $75 per barrel. However, demand is increasing. But the rebounding oil prices are partly due to market participants’ skepticism that OPEC+ can reach its new output target. JP Morgan analysts predict that oil prices will rise even more in 2022.

Oil prices could see their largest weekly increase since mid-August, according to current trends. Both Crude Oil and West Texas Intermediate will register 7% growth next week. Brent Crude Futures advanced 0.9% to reach $75.08 a barrel. WTI saw a gain of 1.1% to $71.68 a barrel on Thursday December 9.

According to the United States Energy Information Administration, (EIA), global petroleum consumption will rise by 3.5million b/d to an average of 100.5 million in 2022. We believe that ConocoPhillips’ fundamentally strong oil-and gas stock (COP) is in good shape. Suncor Energy Inc. This stock could be your best bet. In our proprietary POWR Ratings system, these stocks are rated as Buy (B) overall.

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