The price of Brent has remained close to $125 per barrel despite verbal intervention from Saudi Arabia and the threat of an early release of official stocks led by the US. We are therefore nudging up our price forecasts to reflect this resilience, as well as recent supply shocks and the brighter US economic outlook. Nonetheless, we continue to expect Brent to end 2012 under $100 (at $95), and to fall further (to $85) next year (both figures are well below consensus), dragged down by better news on supply, weaker than anticipated demand, and broader financial pressures.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services