Analysts Lower Oil Price Forecasts for 2026 Amid Strait of Hormuz Reopening and Slowing Demand

For the first time since the conflict began in Iran, analysts have reduced their average oil price forecasts for 2026, according to a Reuters survey of 31 experts. The average forecast for Brent crude in 2026 fell to $84.5 per barrel from $90.44 a month earlier, while U.S. crude is expected to average $79.49 per barrel, down from $84.63. This revision, a decline of over 6% compared to May, is attributed to increased crude oil supply following the reopening of the Strait of Hormuz and an anticipated slowdown in demand in 2027, particularly from China.