Barclays sees crude oil surplus in near-term, cuts Brent price view
Barclays lowered its Brent price forecasts on Tuesday by $8 per barrel for 2022 and 2023, as it expects a large surplus of crude oil over the near-term due to “resilient” Russian supplies.
The British bank now sees Brent crude averaging $103 this year and next, and U.S. West Texas Intermediate (WTI) to average $99 for both years.
Benchmark Brent crude futures were trading around $94 a barrel on Tuesday, while WTI futures were slightly below $89. [O/R]
The recent move lower in prices is primarily a timing issue, as resilient Russian supplies before the European Union’s sanctions kick in later this year have coincided with elevated concerns of a broader slowdown, the bank said in a note.
