Lates News

The U.S. Energy Information Administration (EIA) stated in its monthly report on Tuesday that due to the Iran war causing supply disruptions, Brent crude prices will remain above $95 per barrel for the next two months and will fall to around $70 by the end of the year. The EIA pointed out in its Short-Term Energy Outlook that the Strait of Hormuz, a key chokepoint for one-fifth of global oil transportation, has been largely blocked, leading to further declines in oil production in the Middle East in the coming weeks. The EIA raised its forecast for Brent crude prices in 2026 by 37% to $79 per barrel and expects Brent oil prices to fall below $80 per barrel in the third quarter of this year. The agency also forecast that U.S. retail gasoline prices will reach $3.34 per gallon, an increase of 14.7% from previous estimates; diesel prices are forecasted to rise to $4.12 per gallon, an increase of about 20.1%. The EIA pointed out that the increase in oil prices will stimulate U.S. crude production, with daily production expected to reach 13.61 million barrels this year and climb to 13.83 million barrels in 2027. Previously, the EIA forecasted production of 13.6 million barrels per day in 2026 and 13.32 million barrels per day in 2027.