• Goldman Sachs forecasts moderating oil prices as global supply exceeds demand in the fourth quarter of 2026 and in 2027.
• Dated Brent crude for delivery next month trades above $130 a barrel, while benchmark Brent futures have recently exceeded $100.
• Spot Brent prices include a nearly $25 risk premium reflecting potential supply disruptions from further Middle East escalation.
• Near-record-low global inventories support restocking demand, while portfolio hedging demand also helps keep oil prices elevated.
• Higher non-Gulf production and weaker global demand have brought the oil market nearly into balance despite remaining Persian Gulf production shortfalls.

Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. The Goldman Sachs Group Inc. published the original content used to generate this news brief on October 16, 2026, and is solely responsible for the information contained therein.