Major banks are raising their Brent crude oil price forecasts in response to persistent shipping disruptions in the Middle East.
The Frankfurt-based Commerzbank lifted its year-end Brent forecast to $85 per barrel from $75, reports EnergyNow.com.
Goldman Sachs increased its Brent and West Texas Intermediate (WTI) forecasts by $5 a barrel for December 2026 and 2027, expecting the disruptions to last into next year. The bank predicted that Brent could trade at $85 a barrel and WTI at $80 in December, warning that Brent could shatter $120 if Gulf production and exports remain significantly constrained.
Meanwhile, HSBC raised its 2026 Brent forecast to $90 per barrel and its 2027 forecast to $85 per barrel. The bank highlighted the ongoing situation in the Strait of Hormuz, where about 20% of the world’s traded petroleum passes through.
“We think the market is adjusting to a disrupted ‘new normal’ in which the strait is neither fully closed nor fully open, but persistently impaired.”
Bank of America raised its Brent forecast to $83 per barrel for the second half of this year and $75 for 2027. Bank of America outlined further risks.
“More disruptions could push it toward $120/bbl, while vast energy infra damage could drive prices to $150/bbl.”
Oil prices ended the week above $100 per barrel for the first time since mid-May, with US diesel prices hitting a record high.
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