Trending Now - Goldman Sachs Increases Oil Price Projections Amid Inventory Decline
WHO:
OilPrice.com - Goldman Sachs Group Inc. is the organization raising oil price forecasts.
OilPrice.com - ING commodity analysts Warren Patterson and Ewa Manthey provided insights on oil market conditions.
WHAT:
OilPrice.com - At the time of writing, Brent crude was trading at $106.68 per barrel, and WTI was changing hands at $95.35 per barrel.
OilPrice.com - Goldman Sachs has estimated lost production in the Middle East at 14.5 million barrels daily as of this month.
OilPrice.com - Goldman Sachs raised its forecast for Brent crude to an average of $90 per barrel in the fourth quarter and West Texas Intermediate to $83 per barrel.
OilPrice.com - Goldman Sachs expects global demand for oil to decline by 1.7 million barrels daily over the current quarter and by approximately 100,000 barrels daily over 2026 compared to 2025.
Bloomberg Markets - Goldman Sachs cited “extreme” inventory draws as a reason for the increased oil price forecasts.
WHERE:
OilPrice.com - The Strait of Hormuz is mentioned as a location affected by prolonged closures impacting oil supply.
WHEN:
OilPrice.com - Goldman Sachs' forecast for Brent crude and WTI prices is for the fourth quarter of the year.
OilPrice.com - The estimated lost production in the Middle East is reported as of this month.
WHY:
OilPrice.com - Goldman Sachs analysts stated, “The economic risks are larger than our crude base case alone suggests because of the net upside risks to oil prices, unusually high refined product prices, products shortages risks, and the unprecedented scale of the shock.”
OilPrice.com - Goldman Sachs indicated that economic risks are larger than their crude base case suggests due to net upside risks to oil prices, high refined product prices, and unprecedented supply shocks.
OilPrice.com - The lack of progress on peace talks is causing the market to tighten, leading to higher oil prices.
HOW:
OilPrice.com - ING commodity analysts noted, “The lack of progress [on peace talks] means the market is tightening every day, requiring oil prices to reprice at higher levels. There’s little alternative to fill a roughly 13m b/d shortfall.”
OilPrice.com - Goldman Sachs noted that extreme inventory draws are not sustainable and that sharper demand losses may be required if the supply shock persists longer.
(UPDATED April 27, 2026 13:22 UTC)
Brent crude is currently trading at $106.68 per barrel, while WTI is at $95.35 per barrel, as Goldman Sachs reports a staggering loss of 14.5 million barrels in daily production from the Middle East. Analysts from Goldman Sachs warn that the economic risks are greater than previously thought due to potential spikes in oil prices and shortages of refined products. ING commodity analysts emphasize that the ongoing lack of progress in peace talks is tightening the market daily, leading to the necessity for oil prices to adjust higher to address a significant shortfall.
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(UPDATED April 27, 2026 07:47 UTC)
Goldman Sachs has raised its forecast for Brent crude oil to an average of $90 per barrel and West Texas Intermediate to $83 per barrel for the fourth quarter, citing extreme inventory draws as a key factor behind these predictions. The firm also anticipates a decline in global oil demand, projecting a drop of 1.7 million barrels per day this quarter and around 100,000 barrels daily in 2026 compared to 2025, while ongoing tensions and lack of progress in peace talks are tightening the market. Additionally, the Strait of Hormuz is highlighted as a critical area affected by prolonged closures that are impacting oil supply.