Goldman Cuts Oil Forecasts on Slow US Growth, OPEC+ Policy.

oldman Sachs Group Inc. cut its oil price forecasts, as tariffs reduce the outlook for US growth while OPEC and its allies boost output.

The move follows a drop in crude prices from this year’s high in January on plentiful supply, a weak demand outlook from top importer China and an escalating international trade war.

“While the $10 a barrel sellof since mid-January is larger than the change in our base case fundamentals, we reduce by $5 our December 2025 forecast for Brent to $71,” Goldman analysts including Daan Struyven said in the note dated Sunday. “The medium-term risks to our forecast remain to the downside given potential further tariff escalation and potentially longer OPEC+ production increases.”

Oil demand will rise 900,000 barrels a day in January, 18% less than a previous forecast, Goldman said. Brent will trade in a range of $65 to $80 a barrel, and average $68 next year, the bank said.

Source: FINANCE.YAHOO