Citi Raises Brent Crude Forecast to $80 for Q3 Amid U.S.-Iran Conflict, but Expects Decline to $65 by 2027

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Citigroup raised its third-quarter Brent crude oil forecast to $80 per barrel from $75, citing the ongoing U.S.-Iran conflict and failed negotiations to restore normal oil flows through the Strait of Hormuz. The bank maintained its fourth-quarter forecast at $70 per barrel and expects Brent to average $65 in 2027. Citi anticipates the five-month conflict will eventually be resolved, though it has persisted longer than initially expected. Brent futures were trading at $83.11 per barrel on Friday.