Oil Sanctions Jolt Market as Bear Case Faces a Challenge
- Morgan Stanley raises Brent forecasts as Russia supply at risk
- Goldman Sachs retains outlook for prices and Russian supplies
This article is for subscribers only.
For months, the consensus in the global oil market was that 2025 would be a year marked by a bulky surplus and flat-to-soft pricing. Suddenly — after the boldest package of US sanctions yet against Russia’s energy industry — the outlook is more complicated.
“Just one week into the year, we have already tested the top of the ‘event risk premium’ price range,” RBC Capital Markets LLC analysts including Brian Leisen wrote in a note released on Sunday. “The new Russian sanctions from the outgoing administration are a net addition to at-risk supply.”