(Reuters) – Goldman Sachs raised its oil price forecast for this year and next on expectations the 2 million barrels per day (bpd) output cut agreed by OPEC+ is “very bullish” for prices.
Goldman Sachs raised its 2022 Brent price forecast to $104 per barrel from $99 per barrel and for 2023 to $110 per barrel from $108 per barrel.
If the latest reduction in output by OPEC+ is sustained through December 2023, it would amount to $25 per barrel upside to the Brent forecast, with potential for even higher prices should inventories fully deplete, Goldman Sachs said in a note dated Wednesday.
Oil prices held near three-week highs after OPEC+ agreed on Wednesday to the largest reduction in production targets since 2020. [O/R]
The following is a list of the latest brokerage forecasts for 2022 average prices per barrel for Brent and WTI (in $ per barrel):
Brokerage/Agency Brent WTI Date
Revised
2022 2023 2022 2023
Goldman Sachs 104.00 110.00 98.00 105.00 Oct. 5
Goldman Sachs 102.00 108.00 93.00 103.00 Sept 27
Barclays 103.00 103.00 99.00 99.00 Aug. 16
Fitch Solutions 105.00 85.00 100.00 81.00 June 14
Barclays 111.00 111.00 108.00 108.00 June 6
Citi Research 99.00 75.00 95.00 72.00 June 6
Commerzbank 99.00 91.00 96.00 88.00 May 25
*UBS 115.00 — — — April 11
BofA Global Research 104.48 100.00 100.00 95.00 April 11
Barclays 100.00 88.00 96.00 85.00 April 8
Goldman Sachs 135.00 115.00 — — March 8
*UBS 105.00 — — — March 4
Standard Chartered 85.00 Feb. 25
Commerzbank 84.00 78.00 81.00 75.00 Feb. 15
Barclays 92.00 89.00 Feb. 14
Barclays 85.00 82.00 Jan. 24
Morgan Stanley — 95.00 — 92.50 Jan. 20
*UBS 85.00 — — — Jan. 19
Fitch Solutions 72.00 73.00 66.00 69.00 #Jan. 13
JP Morgan 88.00 84.00 Nov. 24
ABN Amro 79.00 76.00 Oct. 14
* indicates end-of-period forecast
# current as of given date, may not indicate date of revision
For a table of crude price forecasts as of Sept. 30, see
(Reporting by Bengaluru Commodities desk; editing by Barbara Lewis)
