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UBS Cut Year End Brent Forecast to 95$/bbl

OIL

UBS has cut the year-end Brent oil forecast by 10$/bbl to 95$/bbl due to greater than expected supply including from Russia. Despite the lower forecast, crude is still expected to rebound from current levels.

  • They see recession fears keeping investors sidelined with the oil market likely to be undersupplied by approximately 1.5m b/d in June.
  • The driving season in the US and demand from the Middle East for power generation is expected to boost consumption.

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