Goldman Sachs Warns Brent Crude Could Surge to $120 a Barrel

Investment bank Goldman Sachs has warned that Brent crude could climb as high as 120 dollars a barrel if attacks on shipping in the Middle East expand and intensify. According to ArzDigital, Daan Struyven, co head of global commodities research at Goldman Sachs, said recent developments show a serious risk of wider disruption to maritime transport; in an alternative scenario, the bank said prices could fall to around 80 dollars a barrel if the region's oil exports return to normal. Energy Aspects, a research firm, said oil inventories outside China have fallen by more than 400 million barrels since the conflict began. Brent crude rose to around 98 dollars a barrel on Monday, September 7, its highest level since late July; Sahmino's own tracked data showed the benchmark up more than 2 percent to near 99 dollars around midday on Tuesday, September 8. The warning was independently reported by energy trade publication Oilprice.com, citing Goldman Sachs.