Bank of America, Goldman Sachs, HSBC and Commerzbank have all raised their Brent crude forecasts as shipping disruptions in the Gulf persist. Brent closed last week above $100 a barrel for the first time since mid-May, and banks warn the price could climb further if the disruptions deepen.
Oil prices ended last week above $100 a barrel for the first time since mid-May, with US diesel prices hitting a record high. As a result, several major banks have raised their Brent crude price forecasts.
Banks lift year-end targets
Commerzbank lifted its year-end Brent forecast to $85 a barrel from $75, citing prolonged Gulf disruptions. Goldman Sachs then raised its Brent and WTI forecasts by $5 a barrel for December 2026 and 2027, expecting the disruptions to last into next year. The bank now predicts Brent could trade at $85 a barrel and WTI at $80 in December, and warned Brent could shatter $120 if Gulf production and exports stay significantly constrained.
Bank of America raised its Brent forecast to $83 a barrel for the second half of this year and $75 for 2027. According to Bank of America: "More disruptions could push it toward $120/bbl", while it added that vast energy infrastructure damage could drive prices to $150 a barrel.
HSBC points to the Strait of Hormuz
HSBC raised its 2026 Brent forecast to $90 a barrel and its 2027 forecast to $85 a barrel. The bank pointed to the ongoing situation in the Strait of Hormuz, where about 20% of the world's traded petroleum passes through.
Source: The Daily Hodl
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