Goldman Sachs Sees Oil Taking a Fleeting Trip to $70-$75 a Barrel
- Saudis cutting ‘fast and deep’ to rebalance crude market: bank
- Venezuela output losses likely to accelerate in coming months
This article is for subscribers only.
Oil prices could potentially rise as much as 13 percent from current levels, though the rally may prove fleeting, according to Goldman Sachs Group Inc.
Top OPEC member Saudi Arabia is cutting output faster than U.S. shale drillers can fill the gap, leaving a void in the market that may push global benchmark Brent crude to $70-$75 a barrel in the near future, bank analysts led by Jeffrey Currie said in a note. At the same time, supply disruptions in Venezuela are likely to accelerate in coming months, they wrote.