Photo caption: Oil
Brent Oil Price Outlook and Impact of Middle East Conflict
Short-Term Price Projections
Brent oil prices are set to remain above $95 a barrel over the next two months as conflict in the Middle East rages on, the Energy Information Administration said on Tuesday in its monthly short term energy outlook report.
Long-Term Price Forecasts
Brent crude futures will then fall below $80 a barrel in the third quarter of 2026, before slipping to around $70 by the end of the year.
Factors Influencing Oil Prices
Strait of Hormuz Closure
The effective closure of the critical chokepoint, the Strait of Hormuz, through which a fifth of global oil flows every day, will cause Mideast oil output to fall further in the coming weeks.
Production Shut-ins and Recovery
Those production shut-ins will gradually ease as transit resumes, the EIA added.
