Barclays raises Brent crude price forecast to $72 per barrel for 2025

On Thursday, Barclays raised its Brent crude price forecast by $6 to $72 per barrel for 2025 and by $10 to $70 per barrel for 2026, citing expected demand growth.

Geopolitical tensions in the Middle East have eased, and the risk premium has disappeared. However, Barclays believes the fundamental drivers for prices are more favorable than expected.

Global oil inventories declined in the second quarter despite higher output from OPEC and its allies, Barclays notes.

What is more, the bank raised its global oil demand growth forecast by 260,000 barrels per day. Most of this increase comes from the Organization for Economic Co-operation and Development (OECD) countries.

Barclays now forecasts a US oil demand increase of 130,000 barrels per day this year, a 100,000 barrels per day upward revision from its earlier estimate.

According to the Barclays report, OPEC+'s oil production target increased by 548,000 barrels per day between March and May 2025. However, the group's actual output remained largely flat. As a result, overall compliance with the agreement improved.