Major financial institutions have revised their oil price outlooks upward due to persistent shipping disruptions in the Gulf. The slowdown in the Strait of Hormuz is directly affecting the benchmarks for Brent crude and West Texas Intermediate.
Goldman Sachs has updated its forecasts for late 2026 and subsequent periods, anticipating that regional shipping issues will continue into the next year. The volume of vessel traffic through the Strait has experienced a significant decline.
Market data currently indicates a 14% probability that crude oil prices will hit a new all-time high by December 31. This sentiment is fueled by the ongoing logistical challenges and the updated projections from major banks.
Alongside Goldman Sachs, institutions including Citi, UBS, Barclays, and J.P. Morgan have also increased their oil price expectations. Investors are now closely tracking potential actions from OPEC members and broader geopolitical shifts in the Middle East.
