Brent crude oil price annually 1976-2021

The average 2021 annual price of Brent crude oil climbed to 63.16 U.S. dollars per barrel, as of May. This is over 20 U.S. dollars higher than the annual average in 2020, when weakened demand during the coronavirus pandemic resulted in an oil crisis. Brent is the world's leading price benchmark for Atlantic basin crude oils. Crude oil is one of the most closely observed commodity prices as it influences costs across all stages of the production process and consequently alters the price of consumer goods as well.

Crude oil benchmarks

In the past decade, crude oil prices have been especially volatile. Their inherent inelasticity regarding short-term changes in demand and supply mean that oil prices are erratic by nature. However, since the 2009 financial crisis, many commercial developments have greatly contributed to price volatility; such as economic growth by BRIC countries like China and India, and the advent of hydraulic fracturing and horizontal drilling in the U.S.
Brent Crude is considered a classification of sweet light crude oil and acts as a benchmark price for oil around the world. It is considered a sweet light crude oil due to its low sulfur content and a low density and may be easily refined into gasoline. This oil originates in the North Sea and is comprised of several different oil blends including Brent Blend and Ekofisk crude. Often, this crude oil is refined in Northwest Europe.

Another sweet light oil often referenced alongside UK Brent is West Texas Intermediate (WTI). WTI oil prices totaled 25.9 U.S. dollars per barrel in 2001 and rose to 93.25 U.S. dollars per barrel in 2014, before decreasing to 39.16 U.S. dollars per barrel in 2020.