Goldman Sachs has raised its December Brent crude forecast to $85 a barrel as Middle East supply disruptions tighten the market. Brent itself is already trading well above that level, between $102 and $104 a barrel, meaning the bank's own number lags the current price.
Goldman Sachs lifted its December Brent crude forecast to $85 per barrel, pointing to rising energy prices across the Asia-Pacific region. The revision follows geopolitical tensions, including the conflict involving Iran and the closure of the Strait of Hormuz, that have tightened oil supplies.
Those disruptions have also pushed liquefied natural gas and diesel prices to yearly highs. Still, inflation forecasts are being moderated by subsidies and regulated prices, though the trend varies across regions.
Brent crude currently trades between $102 and $104 per barrel, well above Goldman's $85 target, suggesting the bank's forecast remains conservative next to current levels. The bank's assessment appears to build in a risk premium tied to the ongoing Middle East supply disruptions.
Source: Crypto Briefing
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