Analysts have cut their 2026 oil price forecasts for the first time since the Iran war began, after five straight monthly increases, as the reopening of the Strait of Hormuz eases concerns over prolonged supply disruptions.
Supply Concerns Ease
The monthly survey of 31 economists and analysts forecast Brent crude would average $84.50 per barrel in 2026, versus $90.44 projected last month. U.S. crude was seen averaging $79.49 per barrel, down from May’s view of $84.63.
The latest revisions mark a more than 6% decline from May estimates. Forecasts had jumped following the outbreak of the Iran conflict at the end of February that disrupted oil supplies and drove oil prices to multi-year highs.
Market Outlook
Oil benchmarks have since fallen significantly from peaks above $126 per barrel for Brent and nearly $120 for WTI as easing geopolitical tensions and the restoration of shipping flows through the Strait of Hormuz alleviated fears of prolonged supply disruptions.
On average, analysts see Brent easing from about $84 in the third quarter of 2026 to around $79 in quarter four, before falling to the mid-$70s by mid-2027, according to the poll.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
