Barclays Warns of Upside Risk to Its $100 Oil Price Forecast for 2026
Crude Oil Prices Today | OilPrice.com • • business
Key Points:
- Barclays maintains its $100 per barrel Brent oil price forecast for 2026 but highlights significant upside risks due to the closure of the Strait of Hormuz, which has caused a severe depletion of U.S. and global oil inventories.
- Global oil inventories are experiencing unprecedented draws, with rates reaching 8.7 million barrels per day since May, the highest ever recorded, according to Goldman Sachs.
- The Strait of Hormuz's restricted tanker traffic, currently at 5% of normal exports, is a major factor tightening physical oil markets and contributing to inventory deficits estimated between 6-8 million barrels per day.
- Despite high prices, asset managers and experts predict oil will average between $81 and $100 per barrel over the next year, factoring in demand destruction and ongoing geopolitical risk premiums.
- Oil prices responded to these supply concerns with Brent Crude rising 2.3% to $105 and WTI Crude up 1.7% to $98 per barrel in early Asian trading.