Oil Price Forecast 2024-2030: Will Oil Prices Fall in 2025?

Since reaching multi-year highs in Q1 2022 following Russia’s invasion of Ukraine in late February, oil prices have gradually retreated. Slowing economic growth, with looming recession due to central banks’ aggressive interest rate hikes to tame decades-high inflation, has capped oil prices. In 2023, crude oil prices dropped by more than 10%, essentially erasing their previous gains.

As 2024 progressed, oil prices faced another year of volatility. Uncertainty over when the US Fed would initiate its rate-cutting cycle pressured oil prices and other commodities in the first nine months of this year, pushing them below $80 per barrel (bbl).

In the first week of October, oil briefly hit $80 as the conflict between Israel and Iran escalated, raising concerns about supply disruptions. However, the gain was just a blip, and oil tumbled back down to below $80.

So, what’s in store for oil prices for the remainder of 2024 and beyond in 2025 and 2030? Let’s dive into our oil price forecast.

2024
Brent: $72.118 to $81
WTI: $$68.672 to $80

OPEC+ output policy
Wars: Hamas-Israel, Russia-Ukraine
Global economic slowdown
The Fed’s rate cut

2025
Brent: $70 to $78
WTI: $65 to $75

Fed continues the rate-cutting cycle
OPEC+ supply returns to market
Higher output from non-OPEC countries
Demand recovery
Global economic uncertainty

2026-2030
Brent: $65 to $77 (2026 to 2028)
WTI: $60 (2026-2027)

General sentiment: neutral to bearish

Wider adoption of EV, clean energy
De-dollarization
OPEC+ role to regulate supply
Decreasing demand among developed nations
Increasing demand from emerging nations