Goldman Sachs Sees $120 Oil as Shipping Disruptions Escalate
Goldman Sachs has revised its oil price forecast upwards due to escalating tensions in the Middle East, warning that Brent crude could reach $120 a barrel if shipping disruptions worsen.
The bank's co-head of global commodities research, Daan Struyven, said on September 7 that recent events have increased the risk of broader and more intense shipping attacks. If this scenario plays out, Goldman Sachs predicts Brent could rise to $120, while normalization of regional exports could pull prices down towards $80.
The current price of Brent is around $97.49, having traded near $100 in the past week due to renewed US-Iran strikes and threats to Gulf supply risks.
Iran is preparing a new restricted Gulf zone, which analysts warn could widen the conflict. Tehran plans to establish a shipping corridor through the Strait of Hormuz, but the US acceptance remains uncertain.