Goldman Sachs lowers its forecast for Brent’s price to $90 per barrel

Banking firm, Goldman Sachs, lowered its predictions for brent oil prices in 2023’s second quarter to be $90 per barrel, previously being $105 per barrel, Vitol Group’s CEO told Bloomberg Television on Monday.

The firm predicted a steady incline in oil prices to reach $100 per barrel by December. The same prices are expected to be the same in 2024 if OPEC  increased productions to one million barrel per day by the second half of the year.

If the Organization of the Petroleum Exporting Countries (OPEC) stabilised its production, the brent prices can move up to $107 per barrel by December, said the firm.

Brent prices can go up to $100 per barrel in December if Russia and OPEC’s production stayed the same, the U.S. increased its production and the OECD’s demand slightly decrease, stated the firm.

Goldman Sachs also predicted a recovery in the Chinese demand, and that the stable supply amount from non-OPEC countries would lead to a market shortage starting from June.

OPEC is likely to decide not decreasing its production during its meeting in June, the firm predicts.