Goldman Sachs Raises Oil Price Forecasts Amid Persistent Mideast Disruptions

Goldman Sachs has raised its forecast for oil prices due to persistent disruptions in the Middle East. The team, led by Daan Struyven, expects Brent/WTI prices to reach $85/80 per barrel in December 2026 and $80/75 in 2027.

The upgrade is modest, according to Goldman, as OECD commercial oil inventories have barely drawn since the war began. The strategists also assume Middle East supply adaptation continues, with production gradually recovering by the second half of 2027.

However, risks to their forecast remain significantly tilted to the upside on net, especially near-term. In an upside scenario, Brent could exceed $120 per barrel if 2027 average Gulf output remains 4 million barrels per day below pre-war levels.