EIA Boosts Oil Price Forecasts Amid Ongoing Middle East Supply Disruptions
The US Energy Information Administration (EIA) has raised its forecasts for oil prices in 2026 and 2027, citing continued disruptions to oil production and exports from the Middle East.
In August, global crude oil prices rose as total exports out of the Middle East remained constrained, leading to more oil production shut-ins in the region. The EIA estimates that global oil inventories have fallen by about 400 million barrels so far this year.
The agency now forecasts the Brent crude oil price to average $91.01 a barrel in 2026, up from its previous forecast of $86.81. For West Texas Intermediate (WTI) crude oil, the forecast is $84.65 a barrel, an increase from $80.88.
The EIA expects oil prices to decline during 2027 as oil production recovers and global inventories begin to rebuild. The agency forecasts Brent crude oil price will begin to fall in the second quarter of 2027, reaching an average of $77 a barrel by that time.