Brent Crude Price Forecast Soars Amid Strait of Hormuz Disruptions

Goldman Sachs has raised its forecast for Brent crude oil prices in 2026. The bank now expects an average price of $85 per barrel, up from a previous estimate of $77. WTI crude is also expected to reach $79 per barrel next year.

The increased forecasts are due to extended disruptions to crude shipments through the Strait of Hormuz and strategic stockpiling. This has led to a tighter and more risk-averse market posture.

Goldman Sachs expects Brent prices to average $110 per barrel in March and April, up from its previous forecast of $98. The bank also outlined two upside risk factors: one where a prolonged Hormuz disruption pushes Brent past its 2008 peak, and another where sustained supply losses in Mideast production leads to a price spike.

However, the end of U.S. military action in the region could quickly erode the risk premium, while Washington's consideration of oil-export restrictions could widen the Brent-WTI price gap further.