US EditionGlobal Oil Price Stuck in Triple Digits. Goldman Sachs Says It May Stay There for Years
Goldman Sachs cites Middle East conflict and Strait of Hormuz closure as key factors for prolonged oil prices above $100 per barrel through 2027.
- On Thursday, Goldman Sachs warned oil prices could stay above $100 through 2027, citing risks from prior large supply shocks and supply disruptions.
- The Strait of Hormuz has been effectively closed for 19 days, choking off about 20% of world oil supply and triggering widespread shut-ins across Gulf states.
- Scenario modelling shows Goldman Sachs' worst-case estimates Brent around $111 per barrel by Q4 2027 if flows remain very low for over two months and production stays at 2 million barrel per day after reopening.
- The United States committed to releasing over 172 million barrels following an IEA emergency, while Treasury Secretary Scott Bessent suggested lifting sanctions on Iranian oil.
- Goldman's base case assumes a gradual recovery in flows from April, easing Brent to the $70s by the fourth quarter of 2026, but strikes this week and a conflict three weeks in keep long-term risks elevated.
15 Articles
15 Articles
The Gas Is Too High: What Triple Digit Oil Prices Mean For You
Source: NurPhoto / Getty You’re going to be shocked hearing this, but it turns out that attacking a country with a pronounced influence on the flow of oil with no real plan actually has immediate, wide-scale consequences. Who knew? Gas prices have dramatically risen in recent weeks as a result of President Donald Trump’s decision to strike Iran over dubious claims regarding its nuclear capabilities. Any hope that prices would drop in the near fu…
Oil prices edged back slightly on Friday after a volatile day in which the international benchmark price topped $119 a barrel, as the conflict in the Middle East intensified supply concerns…
By John Liu, CNN. Oil prices rose on Friday amid damage to energy infrastructure in the Middle East and the largely closed Strait of Hormuz. Goldman Sachs even suggested that higher prices could persist until the end of 2027. Brent crude, the global benchmark, rose 1.4% to $110.20 a barrel. West Texas Intermediate (WTI), the U.S. benchmark, advanced 0.3% to $95.90.
Goldman warns oil could stay above $100 as Iran war fuels fears of global downturn
Goldman Sachs has warned that oil markets are entering a prolonged period of stress, with risks to prices tilted firmly to the upside as the U.S.-Israeli war with Iran disrupts supply flows and threatens to spill over into the global economy. The latest escalation pushed Brent crude above $119 per barrel, underscoring the severity of […] The post Goldman warns oil could stay above $100 as Iran war fuels fears of global downturn appeared first on…
Coverage Details
Bias Distribution
- 78% of the sources are Center
Factuality
To view factuality data please Upgrade to Premium
