Citi: Brent Crude Seen at $110-$120 in Short Term, Expects Middle East Situation to Ease in Mid-to-Late April

TradingKey - International investment bank Citigroup ( C) released its latest research report showing that it has raised its short-term baseline forecast for Brent crude to $110-$120 per barrel and provided an assessment of the Middle East geopolitical situation, suggesting that local conflicts are expected to ease by mid-to-late April.

The report noted that global oil supply could face disruptions of 11 million to 16 million barrels per day (bpd) over the next four to six weeks, a figure lower than the 20 million bpd export volume previously feared by the market due to risks in the Strait of Hormuz. Meanwhile, Citi set its three-month target price for WTI crude at approximately $104 per barrel.

Regarding long-term oil price trends, Citi's baseline scenario forecast indicates that Brent crude prices will pull back to the $70-$80 per barrel range by the end of 2026.

As of press time, WTI crude oil futures have fallen below the $94 per barrel mark, while Brent crude oil futures have retreated to near $101 per barrel.