UBS raises oil price forecasts for 2026-2027

PANews, March 20 — UBS Group has raised its oil price forecasts for the period between 2026 and 2027 to reflect the closure of the Strait of Hormuz and ongoing conflict in the Middle East. UBS increased its 2026 oil price forecast by $14 to $86 per barrel; the 2027 forecast was raised by $10 to $80 per barrel. Analysts stated: "This forecast is based on the assumption that the conflict will last another 2 to 3 weeks, until early April, and that oil flows through the Strait of Hormuz will remain severely reduced. We assume that major oil fields and terminals will not be damaged, and that flows through the Strait of Hormuz will gradually recover from April onwards, but will not fully return to normal."