Baku:Brent crude oil prices are now projected to reach $100 per barrel by the end of 2026, an increase from the previous estimate of $85, according to OCBC Group Research. The forecast for the end of 2027 has been adjusted to $85 per barrel from $75.

According to BERNAMA News Agency, the research arm of Oversea-Chinese Banking Corporation Ltd (OCBC) stated that these upward revisions are due to sustained high oil prices and the expectation that physical supply constraints will persist for some time.

OCBC Research also highlighted that export estimates are variable among tracking providers as an increasing number of shipments are being moved in convoys, through ship-to-ship transfers, and by vessels that deactivate their tracking signals. They noted that while the movement of crude oil is increasing, the exact volumes remain unclear, putting pressure on market buffers.

In contrast, OCBC Research has revised its gold price forecasts downward to $4,250 per ounce by the end of 2026 and $4,710 per ounce by the end of 2027. The bank remains cautious on gold due to ongoing price instability and factors such as the US Federal Reserve's indecision on interest rate changes and the potential for elevated oil prices to impact the market defensively. Despite this, the bank anticipates that inflationary pressures will moderate by the second half of 2027, potentially allowing for a recovery in gold prices.

Additionally, OCBC Research expects Malaysian crude palm oil (CPO) prices to remain range-bound in the near term, affected by high domestic inventories. Nonetheless, tighter supply conditions and strong biodiesel demand could provide support through 2027. Improved external demand, spurred by India's reduction of edible oil import duties, has reportedly led to increased CPO purchases by refiners. Stronger exports may help reduce inventory build-up, although the existing stock overhang could persist if festive demand diminishes.