Brent crude oil prices once again are expected to reach $90/bbl-plus by the second quarter of next year amid falling global inventories, and prices for the benchmark would likely average $92 for full year 2023, according to updated modeling from the Energy Information Administration (EIA).

In its latest Short-Term Energy Outlook (STEO), published Tuesday, the agency noted recent downward pressure on crude prices, driven by market concerns over global economy activity levels and the demand impacts of Covid restrictions in China.

“Despite the recent drop in crude oil prices, we still expect that falling global inventories of oil in early 2023 will push Brent prices back above $90 by the beginning of the second quarter of 2023,” researchers said. “Although we expect some...