Goldman Sachs Lowers Oil Price Forecast Amid Russia Output Cut & OPEC+ Action

Goldman Sachs has lowered its oil price forecast, predicting significant shifts in the global energy market. This adjustment comes in the wake of Russia's output cuts and decisions made by OPEC+ nations.

Goldman Sachs reduced its oil price forecast following decisions by the Organization of the Petroleum Exporting Countries and its allies, OPEC, to accelerate oil. The investment bank now forecasts Brent crude to reach $71 per barrel by December 2025. This revised prediction factors in a complex interplay of global economic forces.

A key factor influencing this downward revision is concern over slower U.S. economic growth. This anticipated slowdown is expected to dampen demand for oil, impacting overall price stability.

Adding another layer to the complexity, in an online meeting on Saturday, key OPEC producers led by Saudi Arabia and Russia agreed to raise collective output by 411,000 barrels per day (bpd). While this increase aims to address potential supply constraints, it contributes to the overall market dynamics that Goldman Sachs is now reassessing.

Specifically, Goldman Sachs has lowered its December 2025 and average 2025 forecasts for Brent and WTI crude oil prices, citing slower oil demand growth prospects and increased production from key players. This revision reflects a more cautious outlook on the future of oil prices, acknowledging both supply and demand-side pressures impacting the market.

The combined effect of Russia's output decisions and OPEC+ adjustments, alongside concerns about U.S. economic performance, has prompted Goldman Sachs to significantly adjust its oil price expectations. Investors and industry stakeholders are closely monitoring these developments to navigate the evolving energy landscape.