Barclays lowers crude oil forecast

Output cuts: A worker at the main processing hub of the Kashagan offshore oil field in the Caspian Sea in western Kazakhstan. Barclays expects Opec and its allies to phase out the additional voluntary adjustments by October 2025. — Reuters

LONDON: Barclays has lowered its Brent oil price forecast by US$4 per barrel (bbl) to US$66/bbl for 2025 and by US$2 to US$60/bbl for 2026, citing the decision by the Organisation of the Petroleum Exporting Countries and its allies (Opec+) to accelerate oil production hikes.

“Tariff-related developments have certainly been a drag, but the Opec+ pivot has also been a significant driver of the move lower in oil prices of late,” Barclays said in a note last Sunday.