StanChart Boosts Oil Price Forecasts Amid Persistent Middle East Tensions

The global energy market is facing a more persistent deterioration in the Middle East security environment, according to commodity analysts at Standard Chartered.

Saudi Arabia spearheaded the recovery of crude exports from the region, which climbed to 15.5 million barrels per day in September, good for more than 80% of prewar levels and the highest level since the conflict began seven months ago.

StanChart has raised its average Brent crude forecast for 2026 to $92.00/bbl from its previous forecast at $85.50/bbl, while WTI crude is now expected to average $86.00/bbl, up from $80.25/bbl.

The analysts expect only a gradual and imperfect de-escalation process, even if US-Iran negotiations resume shortly, with periodic flare-ups in tension likely to keep a premium embedded in prices.