Natural Gas and Oil Forecast: Will Hormuz Woes Propel Brent to $110?

20% of oil flows are at risk due to disruptions in the Strait of Hormuz, and Goldman Sachs is forecasting Brent around $110/bbl. The supply shock and heightened geopolitical tension are likely to push oil prices higher, increasing inflationary pressure and posing downside risk to energy-sensitive sectors and global growth.

Analysis

20% of oil flows are at risk due to disruptions in the Strait of Hormuz, and Goldman Sachs is forecasting Brent around $110/bbl. The supply shock and heightened geopolitical tension are likely to push oil prices higher, increasing inflationary pressure and posing downside risk to energy-sensitive sectors and global growth.