Bank of America Raises 2026 Brent Oil Price Forecast Due to Hormuz Strait Disruptions

Bank of America has revised its forecast for the average price of Brent crude oil in 2026, increasing it to $77.5 per barrel from the previous estimate of $61 per barrel. According to Jin10, this adjustment comes in response to ongoing disruptions in the Hormuz Strait, a critical chokepoint for global oil shipments. The bank's updated projection reflects concerns over potential supply constraints and geopolitical tensions affecting the region. The Hormuz Strait is a vital passage for oil exports from the Middle East, and any prolonged interruptions could significantly impact global oil markets.