Oil prices could top $90 as Israel-Iran conflict escalates tensions in Middle East

Oil prices may expand beyond 7 % on Friday, as Wall Street analysts warn that the commodity may lead $ 90 a barrel if the Israeli conflict Iran is expanding significantly.

On Friday, future contracts in West Texas (CL = F) and the international standard (BZ = F) settled at $ 72.98 and $ 74.23 a barrel, respectively. Both gains overnight, which have witnessed the prices of more than 13 %.

Goldman Sachs estimates that the conflict can temporarily expel 1.75 million barrels per day of the Iranian offer for six months, only partially corresponds to increasing production from other producers within the organization of oil exporting countries and their allies (OPEC+).

Dan Strewinphene wrote in Goldman and his team in a note published on Friday morning: “We estimate that Brent jumps to the height of a little more than $ 90/BBL, but rejects again to the 1960s in 2026 as Iran recovers the offer,” wrote Dan Strewenpien in Goldman and his team in a note published on Friday morning.

The following upward risks depend on Iran’s response to Israel’s strike against its nuclear program. The broader conflict that includes regional producers or the closure of the Strait of Hormuz – through nearly 20 % of global oil flows – can push prices by approximately 35 % from the current levels.

“Based on our previous analysis, we appreciate that oil prices may exceed $ 100/BBL in a severe tail scenario of extended disturbance,” the Goldman team wrote.

Before Israeli strikes, JPMorgan analysts expected Brent to rise to $ 120 in the worst scenario.

However, both companies believe that the closure of Sisinario Hermozus, and any rational -moving prices.

“Our comfort area with oil prices remains in the range of $ 60 and 65 dollars, as continuous gains may strongly affect inflation, which reflects the most famous cooling in consumer prices in the United States,” wrote Natasha Caneva of Jpmorgan:

The risk of destroying the demand is still a specific factor.

“The problem is that the consumer cannot really bear this level of pricing. So the demand will decrease significantly,” Fernando Valley, Energy Analyst, Risk Management Analyst, told Yahoo Finance. “Usually, it does not take long after these initial skirmishes before their reflection.”

In a message to the United Nations, Iran described the strikes as a “declaration of war.” Tehran also launched an attack on a drone on Israel, which some see as an introduction to a more severe bold in the attack.

president Trump urged Iran to “conclude a deal” on its nuclear program to avoid more conflict, in a social media post. “Just do it, before it is too late,” he wrote.

Anas Ferry is a great business correspondent in Yahoo Financing. Follow it on X in Ins_Ferre.