Morgan Stanley raises its near-term Brent forecasts as geopolitical risk premium likely persists for a period, still expects prices to soften to USD 60/bbl later in 2026

Morgan Stanley raises its near-term Brent forecasts as geopolitical risk premium likely persists for a period, still expects prices to soften to USD 60/bbl later in 2026.

Morgan Stanley's upward revision of near-term Brent price forecasts highlights the market's ongoing sensitivity to geopolitical tensions, which are deemed likely to sustain a risk premium. However, the expectation of a price softening to around USD 60/bbl by 2026 suggests that while immediate risks are recognized, a return to lower valuation levels is anticipated, indicating potential volatility ahead in the energy sector.