According to yesterday's Reuters report, analysts have slightly raised their oil price forecasts following the escalation of geopolitical tensions in the Middle East. However, growing energy supply from OPEC+ and moderate resource demand continue to put pressure on barrel prices.
A June survey of 40 analysts and economists conducted by the agency showed that the average Brent crude price in 2025 should reach $67.86 per barrel. This figure exceeds May's forecast of $66.98. Meanwhile, WTI crude price is projected at $64.51 — also above May's estimate of $63.35. According to LSEG data, year-to-date average prices have been approximately $70.80 and $67.50 respectively.
Earlier last month, heightened tensions between Iran and Israel along with US intervention caused sharp fluctuations in energy prices. Specifically, Brent crude prices surged to $81.40 before plunging to $67.14 after the situation stabilized.
DBS Bank's lead analyst Suvro Sarkar believes the current oil price volatility will persist for several weeks.