ANZ Bank Forecasts Brent Crude at $88 by the End of 2026
ANZ expects Brent crude to trade above $90 in 2026 before ending at $88. Supply losses from Middle East conflicts continue to drive the bank's price forecast.
The financial institution ANZ, based in Australia, has projected that Brent Crude Oil will trade above $90 per barrel for much of 2026, eventually ending the year at $88. This forecast is primarily driven by supply losses resulting from the conflict in the Middle East, with prices expected to remain within the $80 to $85 range into 2027. ANZ estimates that nearly 10 million barrels per day of crude supply have been removed from effective global availability, shifting the market from an expected surplus into a deep deficit. While some supply could return if security conditions normalize, the bank warns that between 1 million and 2 million barrels per day could face permanent or semi-permanent disruption due to reservoir damage and deferred maintenance.
Geopolitical tensions have intensified as the United States military began a blockade of ports in Iran, raising significant uncertainty regarding the Strait of Hormuz. Despite these developments, hopes for diplomatic dialogue to end the war have provided some relief to the energy markets. On Tuesday, Brent futures declined by 0.7% to $98.64, while U.S. West Texas Intermediate crude fell 1.7% to $97.4.
