Goldman Sachs reaffirms Brent forecast for December at $86 a barrel

Oil drilling rigs

Goldman Sachs revised up its global oil demand forecast for 2023, saying that the reduced recession risk and a strong effort by OPEC to push up prices support its view on higher oil prices and an outlook for less volatility. 

The bank raised its oil demand estimate by around 550,000 barrels per day (bpd) and expects a rise in 2023 supply by around 175,000 bpd. 

It also maintained its Brent forecast for December 2023 at $86 bpd and expected prices to rise to $93 a barrel in the second quarter of 2024 as supply deficits continue. 

Goldman Sachs analysts said that global oil demand climbed to an all-time high of 102.8 million barrels per day (bpd) in July. They expected that solid demand would lead to a larger-than-expected 1.8 million bpd deficit in the second half of 2013 and a 0.6 million bpd deficit in 2024.