Barclays warns Brent Crude Oil could hit $100 amid Iran-'Israel' escalation
Brent crude prices could climb to $85 per barrel if Iranian oil exports are cut in half, according to new projections from Barclays. The bank also warned that prices could surpass $100 in a worst-case scenario involving a broader war with Iran.
In a research note dated Thursday, Barclays analysts said escalating military tensions between Iran and 'Israel' have placed global oil markets under extreme stress, especially amid concerns over potential US involvement in the conflict.
Oil Prices Edge Higher
Global oil markets have already begun reacting to geopolitical jitters. Brent futures rose 25 cents, or 0.33%, to $76.70 per barrel, while U.S. West Texas Intermediate crude gained 30 cents, or 0.40%, to settle at $75.14.
Consultancies Warn of Diverging Price Scenarios
Advisory firm Ritterbusch and Associates noted that continued conflict could either drive Brent prices up to $83 or send them crashing to $68, depending on how the geopolitical landscape evolves.
Analysts at ING issued a sharper warning, calling the potential closure of the Strait of Hormuz the biggest threat to oil markets. The strategic waterway is responsible for roughly one-third of the world's seaborne oil trade. A major disruption could push oil prices as high as $120 per barrel, the firm said.
Russia and OPEC Monitor Market Shifts
Meanwhile, Russian Deputy Prime Minister Alexander Novak and OPEC Secretary-General Haitham Al Ghais met to discuss recent developments in the global oil market.
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