Goldman Sachs Raises Oil Price Forecasts, Warns Brent Could Hit $140 in 2027
Goldman cited high disruption risk from Russia-Ukraine and Middle East conflicts, and lifted its 2027 Brent average to $88 a barrel.
- Goldman Sachs raised its December price forecast for Brent crude to $105 per barrel from $90, and lifted West Texas Intermediate to $94, citing high supply disruption risks from Middle Eastern and Russia-Ukraine conflicts.
- ANZ commodity analysts noted that eight months of adapting to disrupted Middle Eastern supply have materially weakened buffers that initially absorbed the shock, prompting the firm to revise its Brent forecast up by 10%.
- Goldman lifted its 2027 average forecasts to $88 per barrel for Brent and $78 for WTI, nearly 17% higher than prior estimates, according to analysts Daan Struyven and Yulia Zhestkova Grigsby.
- Markets are pricing in a higher risk premium as traders expect a lasting diplomatic breakthrough remains difficult, despite recent three-day talks between Iranian and Qatari officials on a possible peace agreement.
- Goldman's base case now includes a global supply disruption allowance for 2027, as the timing and location of disruptions remain nearly impossible to predict amid Middle East and Russia-Ukraine conflicts.
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18 Articles
Goldman Sachs analysts have increased oil price projections at the end of this year and the following year, against the backdrop of increased risks of fuel disruptions to the world market.
️ Goldman Raises Oil Forecasts Due to "Significant" Supply Risks
️ Goldman Raises Oil Forecasts Due to "Significant" Supply RisksThe bank's forecast includes a range of possible scenarios, with prices ranging from approximately $60 to $130, due to the difficulty in forecasting supply disruptions and risks.
The Economic Times
Times of IndiaGoldman Sachs raises oil price forecasts, warns Brent could hit $140 in 2027
Goldman Sachs raised its oil price forecasts amid mounting geopolitical risks and potential Gulf supply disruptions. The bank warned Brent crude could reach $140 per barrel in 2027 under a prolonged supply shock scenario. Shipping attacks, infrastructure damage and Middle East tensions could sustain elevated oil prices and market volatility.
Goldman Sachs Raises December Brent Oil Price Forecast to $105
Goldman Sachs commodity analysts have revised their price forecast for Brent crude upwards, now expecting the benchmark to average $105 in December and remain elevated next year as well. This represents a nearly 17% increase from Goldman’s previous December forecast of $90 per barrel, with the team citing heightened risks to supply security, as reported by Bloomberg. The revision, which is the latest in a series of such revisions coming from var…
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