EIA Hikes Oil Price Forecasts Amid Ongoing Conflict and Dwindling Reserves

The US Energy Information Administration (EIA) has upgraded its oil price forecasts for this year amid ongoing conflict and diminished global oil reserves. The EIA expects a substantial decrease in global oil stocks, with an estimated 400 million barrels depleted this year alone.

Global benchmark Brent crude prices are now projected to average around $91 a barrel in the spot market in 2026, nearly 5% higher than its previous forecast. U.S. West Texas Intermediate crude prices are also expected to average $84.65 a barrel, reflecting a similar percentage increase from earlier estimates.

President Donald Trump told reporters that oil prices would start 'tumbling downward' after the midterm election, but added that relief could take 'a little bit longer than the midterms.'