Oil prices have faced something of a perfect storm over recent week, with the Greece crisis, high Saudi production and an Iran nuclear deal all weighing on the commodity. But despite its recent losing streak – which has seen Brent prices fall close to 10 percent over the past 30 days – a number of banks think oil prices are about to pick up.
Brent was trading around $56 per barrel on Monday morning, while West Texas Intermediate (WTI) was around $50. Although this is well off lows of around $45 and $42 hit earlier this year, it is still around 50 percent lower than in June last year.
But this has not stopped some investment banks sounding a relatively bullish tone on the outlook for the rest of the year. JP Morgan, for instance, expects Brent prices to hit $65 a barrel in the third quarter, and $67 dollars in the fourth quarter of this year.
"We view July and August as the most likely time within 3Q 2015 when crude markets should be at their tightest, given peak summer demand for gasoline and the fact that refinery crude runs are forecast to peak in August," the bank said in a note on Friday.