Goldman Sachs Forecasts Oil Prices to Hit 80 Dollars by 2027

Goldman Sachs forecasts that global crude oil prices may moderate to 80 dollars per barrel in 2027 as Middle East supplies recover and the market shifts toward a surplus. The firm revised its December 2026 forecast for benchmark Brent crude upward to 90 dollars per barrel from a previous estimate of 85 dollars.

Physical prices currently remain elevated above 130 dollars per barrel. This is driven by low global inventories and a risk premium of nearly 25 dollars per barrel reflecting potential supply disruptions from the US-Israel-Iran conflict. While Persian Gulf exports have largely recovered to 2025 averages and the global supply deficit narrowed by September, these geopolitical tensions continue to pressure the market.

On the demand side, consumption fell 3.3 million barrels per day year-on-year in the third quarter of 2026. This decline was driven by weakness in China, the Middle East, and developed Asian economies, as well as the accelerated adoption of electric vehicles.