Citigroup analysts predict Brent prices could fall to $60 by year-end as Strait of Hormuz traffic stabilizes and U.S.-Iran tensions ease.
Brent crude prices may decline to $60 per barrel by the end of 2024 as traffic through the Strait of Hormuz normalizes and a potential U.S.-Iran agreement reduces supply risks. Analysts recommend selling summer rallies, projecting a range of $60 to $65 by year-end.
The forecast follows expectations that a memorandum of understanding between the U.S. and Iran will solidify into a formal deal, easing geopolitical tensions. Prior estimates had Brent trading near current levels, with limited downside risk priced in.
No immediate market reaction was specified, but the bearish outlook could pressure energy sector sentiment.