Capital Economics sees oil at $150 per barrel through 2027 in an extreme case

Capital Economics warned that in an extreme escalation of the Iran war, Brent crude could surge above $150 a barrel and stay near that level through the end of 2027. The scenario implies a material upside shock to energy prices and broad inflationary pressure, with significant implications for oil-importing economies and risk assets.

Analysis

Capital Economics warned that in an extreme escalation of the Iran war, Brent crude could surge above $150 a barrel and stay near that level through the end of 2027. The scenario implies a material upside shock to energy prices and broad inflationary pressure, with significant implications for oil-importing economies and risk assets.