HSBC: Prepare for $95 Oil Next Year

In the latest contribution to the heated debate over the price of oil, HSBC has trimmed its forecast for Brent crude next year by $5, but added that it was not convinced of persistent weakness throughout 2015.

HSBC cut its Brent crude price assumption for the full year next year to $90, down from $95, but predicted that short-term price pressure will “sow the seeds” for higher prices in the longer term.

The bank has also lowered its Brent price forecast for the fourth quarter of this year from $92 to $85, and sees the oil price climbing $5 a quarter in 2015 to end the year at around $95.

CNBC

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