• 4 minutes Is The Three Gorges Dam on the Brink of Collapse?
  • 8 minutes The Coal Industry May Never Recover From The Pandemic
  • 11 minutes China Raids Bank and Investor Accounts
  • 1 min In a Nutshell...
  • 20 mins Sources confirm Trump to sign two new Executive orders.
  • 4 hours Why Wind is pitiful for most regions on earth
  • 11 hours During March, April, May the states with the highest infections/deaths were NY, NJ, Ma. . . . . Today (June) the three have the best numbers. How ? Herd immunity ?
  • 2 days Putin Paid Militants to Kill US Troops
  • 2 days Joe Biden to black radio host, " If you don't vote for me you ain't black". That's our Democratic Party nominee ?
  • 3 days Happy 4th of July!
  • 3 days Putin Forever: Russians Given Money As Vote That Could Extend Putin's Rule Draws To A Close
  • 4 days Tesla Model 3 police cars pay for themselves faster than expected, says police chief
  • 4 days Victor Davis Hansen on Biden's mental acuity " . . unfit to serve". With 1 out of 5 Democrats admitting it. How many Dem's believe it but will not admit it?
  • 21 hours Coronavirus hype biggest political hoax in history
  • 3 days Apology Accepted!
  • 4 days The Political Genius of Donald Trump
Oil Prices Remain Excessively Vulnerable To Shocks

Oil Prices Remain Excessively Vulnerable To Shocks

Oil markets remain highly fickle,…

Citigroup: Oil Will Never Return To $100

Citigroup: Oil Will Never Return To $100

Citigroup analysts said on Thursday…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Goldman Sachs: Oil Unlikely To Reach $100

Crude oil is unlikely to reach US$100 a barrel as various analysts have warned, Goldman Sachs’ chief of commodities Jeffrey Currie told S&P Global Platts in an interview. This is not the first time the analyst has countered the dominant sentiment: in September, Currie also said the chances of Brent hitting US$100 were slim although not impossible.

"We're not saying $100 oil cannot happen. It's not our base case nor do we think it's very likely," Currie said, adding "sustainable loss in all of Iran's oil exports for an extendable period of time" had to emerge for the bullish predictions to become a reality.

The analyst went on to detail the reasons for this cautiousness: in addition to indications that Iran’s oil exports will not fall to zero—and one might add they won’t even fall to half what they were before, at least not immediately—production is growing. Saudi Arabia, if we are to believe self-reported figures, has been raising its production faster than many expected, strengthening hopes that there will be enough supply even after U.S. sanctions against Iran kick in.

"In the last four months we have seen a 20% rise in drilling in Saudi Arabia, you have already lost 700,000 b/d of Iranian exports and inventories built, which tells you there is already a lot more oil in the market," Currie said.

And production from other OPEC members has been growing or, in the case of Libya, stabilizing, which also adds fuel to the bearish case for oil prices, supported by downward revisions of demand by the International Energy Agency and OPEC itself.

"Our base case is for a modest decline in inventories in the fourth quarter, which will likely keep prices somewhere around $80/b," Currie told S&P Global Platts, reiterating a previous stance in which the Goldman Sachs commodities department had estimated that Brent prices will remain range-bound between US$60 and $80 during the last quarter of the year.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • Aghast on October 19 2018 said:
    In time, the price of crude oil will skyrocket.
  • Dan Foster on October 19 2018 said:
    Goldman are not hunters. This is the time of year endless pickup trucks are hauling sugar beets to their hunting spot in the Heartland. The massive energy use via Florida during off season winter while rebuilding along with the Carolinas will continue U.S. oil consumption at a feverish pace.

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News