Oil prices slipped Wednesday morning, interrupting a recent rally with news of sharply increased U.S. crude stockpiles released by the American Petroleum Institute Tuesday night.
But it's a temporary blip in the broader outlook for the next two quarters of price growth, commodities experts told CNBC.
"We expect the rally in Brent prices will continue over Q2-Q3 this year as the market tightens further on the back of OPEC production cuts and deteriorating output in Venezuela," Edward Bell, director of commodities research at Dubai-based Emirates NBD, told CNBC in an email Wednesday.
Robin Mills, CEO of Qamar Energy and a nonresident fellow at Columbia's Center for Global Energy Policy, similarly sees prices remaining strong in the second quarter.
"Demand continues to be fairly good, OPEC+ compliance is high, the production cuts deal is planned to continue, output in Venezuela will keep deteriorating and Iranian exports are still under pressure," he told CNBC, noting that Russian compliance with the output cut deal is also increasing.
"If prices go 'too high', likely the U.S. will grant more Iran waivers, and if they don't then, with a lag, the Saudis will respond by increasing production within their overall cap."