HSBC Lifts Brent Forecast to $90 as Hormuz Crisis Persists

HSBC has raised its 2026 Brent Crude forecast to $90 per barrel from $80, citing a prolonged Strait of Hormuz crisis that continues to tighten physical markets. Analyst Kim Fustier flagged that a full rebalancing is unlikely before mid-2027.

The bank's base case assumes a fragile US-Iran understanding that remains vulnerable to renewed escalation, keeping a geopolitical risk premium embedded in crude pricing for the foreseeable future.

For traders, this repricing signals sustained upside bias in Brent futures, with volatility likely to spike around any diplomatic developments tied to the Hormuz corridor.