BlackRock Brent Oil ETF Drops 19% in May on US-Iran Ceasefire
BNO•Brent futures fell $18 in May, a 19% slump and biggest monthly drop since early 2020, after the US and Iran agreed a 60-day ceasefire. Analysts raised 2026 oil forecasts for the third time since February, citing months-long timelines to restore energy flows to pre-war levels.
1. May Price Decline
Brent crude futures fell $18 in May, marking a 19% slump and the largest monthly drop since early 2020. The selloff drove the BlackRock Brent Oil ETF downward by a similar magnitude as traders scaled back on oil exposure.
2. US-Iran Ceasefire Agreement
A tentative 60-day memorandum between the US and Iran eased fears over Strait of Hormuz supply disruptions, prompting renewed selling pressure. Market participants anticipate that resumed flows could unlock millions of barrels per day of crude.
3. Analysts Raise 2026 Oil Forecasts
In the latest poll, analysts increased their 2026 oil price projections for the third time since late February. Forecasts now assume a multi-month process to return energy flows to pre-war levels, delaying a full price rebound.
