Goldman Sachs on oil, in brief:
Sees a $90/bbl ceiling in their base case of no geopolitical supply
hits, and the risks to their $75-$90 range as modestly to the
downside for oil pricesWe expect that
healthy consumers and solid summer demand for transportation and
cooling will push the oil market in a sizable Q3 deficit of 1.3mb/d”We therefore
expect Brent to rise to $86/bbl in Q3, and still recommend our OPEC range trade (long Brent Dec24 $80/90 call spread)”Keeps 2025 average Brent forecast unchanged at $82/bbl, reflecting that a modest China-driven downgrade of 2024 demand growth to 1¼mb/d roughly
offsets a modest 0.1mb/d downgrade to 2024 non-OPEC supply
This article was written by Eamonn Sheridan at www.forexlive.com.
