off-the-wire

Goldman sees $120/bbl oil risk if attacks on Middle East vessels intensify, Bloomberg reports

Kitco Media
By Reuters
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Reuters
Goldman sees $120/bbl oil risk if attacks on Middle East vessels intensify, Bloomberg reports teaser image

Sept 6 (Reuters) - Goldman Sachs said oil prices may rally to as much ​as $120 a barrel if attacks ‌on shipping in the Middle East rise and it recommended bets on natural ​gas and diesel as a ​way to capture gains, Bloomberg ⁠News reported on Sunday.

“Events over the ​last few days do suggest ​that the risk of shipping disruptions broadening and intensifying is an important one," Daan ​Struyven, co-head of global commodities ​research, said in an interview on Bloomberg TV.

In ‌addition, ⁠the bank said oil could fall to $80 a barrel if exports from the region return to normal ​levels, ​Bloomberg reported, ⁠citing Struyven.

Oil prices extended gains as tit-for-tat strikes ​between the U.S. and Iran ​on ⁠vessels sailing in the Strait of Hormuz and other areas heightened concerns ⁠of ​a prolonged supply ​disruption from the Middle East.

Reporting by Sukanya Mitra ​in Bengaluru; Editing by Thomas Derpinghaus

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