Bank raises long-term oil price forecasts citing upside risks from Middle East tensions and Strait of Hormuz instability.
Goldman Sachs revised its oil price outlook, projecting Brent crude could exceed $120 per barrel in late 2026 if the Strait of Hormuz remains disrupted. The bank cited renewed escalation risks in the Middle East as a key driver for upside potential in its forecasts.
The new projections mark an increase from Goldman’s prior $80 per barrel Brent forecast for Q4 2026. For 2027, the bank expects an average price of $100 per barrel under the same disruption scenario, up from its earlier $75 WTI forecast for the same period.
No immediate market reaction was specified in the update, which focuses on long-term supply risks rather than near-term trading dynamics.