Goldman Sachs Maintains Oil Price Forecast for 2026

Global Oil Market Projections

Goldman Sachs has maintained its projection that global oil prices will average $56 per barrel for Brent crude and $52 per barrel for West Texas Intermediate (WTI) in 2026. The investment bank's latest research note highlights that despite potential geopolitical tensions, the overall market is expected to experience a supply surplus.

Factors Influencing Oil Price Projections

The forecast is based on expectations of rising global oil supply potentially outpacing demand growth, which could lead to a market surplus. However, ongoing geopolitical risks involving major oil-producing countries like Russia, Venezuela, and Iran are seen as significant factors that could continue to cause price volatility throughout the year.

Market Implications

While the projected average prices suggest a weaker oil market, the persistent geopolitical tensions are likely to maintain some level of price uncertainty. Market participants will need to monitor both supply developments and geopolitical events closely to navigate the oil market in 2026.