Oil Prices Expected to Slide into $70s Amid Rising Supply

Oil prices are expected to slide into the $70s per barrel this year and further into the $60s in 2027, according to Julius Baer. The Swiss bank cited rising supply by Gulf countries as a key factor behind the downward trend.

Norbert Rücker, head of economics and next generation research at Julius Baer, noted that geopolitical tensions between the US and Iran have kept uncertainty elevated. However, he stated that the underlying fundamentals of the oil market point to a more benign supply outlook than many had anticipated.

Globally, WTI and Brent closed at $82.40 and $88.52 per barrel on Friday, up 1.42% and 1.67%, respectively, due to attacks on the oil ships in the Strait of Hormuz.