Woofun AI reports that Goldman Sachs released a report stating Brent crude oil prices could surpass $120 per barrel in the fourth quarter if disruptions at the Strait of Hormuz continue. The bank emphasized this is not its base case scenario. The report noted that Middle East escalation and Persian Gulf flows dropping to less than 45% of pre-war levels have driven recent price rebounds.

Under the base case assumption of easing tensions, Goldman Sachs forecasts Brent at $80 per barrel for Q4 and $75 per barrel next year. Analysts highlighted that upside risks dominate due to potential shipping disruptions in the Strait of Hormuz and the Red Sea.