International rating agency Fitch Ratings predicts that Brent quotes will go down in 2023. However, despite its deteriorating forecasts, the agency is still optimistic about Brent in 2024.
Fitch Ratings has estimated that the benchmark will trade at $80 per barrel this year. In March, Fitch Ratings experts said Brent would cost $85 per barrel in 2023. At the same time, they still see Brent at $75 per barrel in 2024.
The agency stresses that it has downgraded the forecast due to low short-term demand for crude, the risks of slower global economic growth, and the redirection of oil flows in the global market. In addition, Fitch Ratings steeply lowered its outlook for Brent prices in Europe.
Likewise, the agency sees WTI prices down to $75 from $80 per barrel in 2023 and at $70 per barrel next year.
Meanwhile, long-term forecasts have been upwardly revised. Thus, Brent is now expected to rise to $70 from $65 per barrel in 2025 and increase to $65 versus $53 per barrel in 2026. Meanwhile, WTI is likely to trade at $65 per barrel in 2025 and at $60 per barrel in 2026, up from $60 and $50 per barrel respectively.
