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Brent Crude Could Skyrocket to $150 if Iran Conflict Persists, Bank of America Warns
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CNBC TV18•23-09-2026, 06:40
Brent Crude Could Skyrocket to $150 if Iran Conflict Persists, Bank of America Warns
- •Bank of America predicts Brent crude could exceed $150 a barrel if disruptions from a prolonged Iran conflict continue into next spring or if oil infrastructure is further damaged.
- •The bank raised its Brent oil price forecast to $95 per barrel for the second half of this year, up from a previous estimate of $83.
- •Supply has tightened due to the U.S.-Iran conflict, constrained shipments through key straits, refinery outages, and reduced exports from the Middle East, Russia, and China.
- •Francisco Blanch, Bank of America strategist, warns of an expanding "tail risk" as strategic and commercial inventories thin, and physical crude markets signal acute near-term scarcity.
- •Disruptions through the Strait of Hormuz, which peaked at 14 million barrels per day, have recently averaged 4-8 million barrels per day compared to pre-war levels.
Key Questions Answered
According to Bank of America, Brent crude oil could top $150 a barrel if supply disruptions related to the ongoing Iran war persist into the next spring or if oil infrastructure suffers further damage.
Bank of America raised its oil price outlook, now expecting Brent crude to touch $95 per barrel in the second half of the year, which is an increase from its prior forecast of $83 per barrel.
Global crude supplies have tightened due to the ongoing U.S.-Iran conflict, constrained shipments through the Strait of Hormuz and Bab-el-Mandeb, refinery outages, lower exports from the Middle East and Russia, and tightened product exports from China.
