UBS expects Brent to see peak demand this year in August

UBS forecast Brent crude prices to remain in the upper part of trading range of $60–70 per barrel for now, supported by ongoing supply tightness, but expected a gradual decline toward the lower end of this range by year-end.

In a note on Friday, UBS analyst Giovanni Staunovo said that global oil demand is expected to peak this year in August, then ease slightly in the coming months.

He also projected a slight rise in supply from South America, which should bolster oil market availability in the months ahead, Reuters reported.

Oil prices are set to record their first weekly gain in three weeks, after a larger-than-expected drawdown in US crude inventories, even as uncertainty lingers over President Donald Trump’s efforts to broker an end to the Russia-Ukraine war.