FX.co ★ UBS sees Brent crude holding in $60-$70 range

Oil prices are set for a climb, with Brent crude expected to remain strong. UBS analysts predict that the benchmark will trade in the upper half of the $60-$70 per barrel range, providing some relief for energy markets.

Currently, Brent crude prices are supported by low inventory levels across OECD countries. At the same time, UBS projects that demand will peak in August before easing slightly in the coming months. The combination of softening demand and rising supply is expected to drive a significant stock build-up in early 2026. UBS estimates that, in such a scenario, the benchmark will trend toward the lower end of the $60–$70 range by the end of 2025.

Other market observers echo this view. On the supply side, South America is ramping up oil production, with Brazil reaching a new output record. In Saudi Arabia, crude use rose by 185,000 barrels per day, reaching a total of 674,000 barrels per day. This seasonal increase in demand has helped the kingdom maintain consistently high export levels.

UBS forecasts Brent prices at $62 per barrel by December 2025, with a similar level expected in March 2026. However, by mid-2026, analysts anticipate a rebound to around $65 per barrel.