Goldman Sachs reported that Brent crude oil prices could surpass $120 per barrel in the final quarter of the current year, with an anticipated average of $100 per barrel next year. This forecast hinges on sustained disruption of oil supplies
through the Strait of Hormuz and incomplete recovery of Gulf nations' production before late 2027. Oil prices declined on Tuesday, as markets awaited reports indicating ongoing mediation efforts between the United States and Iran. Brent crude futures fell 0.3%, reaching $88.83
per barrel by 02:47 GMT. In contrast, US West Texas Intermediate (WTI) crude for September delivery remained stable at $82.49 per barrel, after both contracts hit over a month high during the previous session. Analysts noted in a memo that the
latest escalation in the Middle East and estimated reduction in flows from Gulf countries below 45% of pre-crisis levels present risks. These could prompt an upward revision of Goldman Sachs' current forecasts of $80 per barrel for the fourth quarter
and $75 for 2027, which assumed de-escalation in tensions during this year's final quarter.
