Bitcoin 
Ethereum 
Tether 
XRP 
BNB 
USDC 
Solana 
TRON 
Lido Staked Ether 
Figure Heloc 
Goldman cuts near-term oil outlook as risk premium fades but keeps longer-term view.Summary:Goldman cuts Q2 oil forecasts
Brent/WTI seen at $90/$87 in Q2
Driven by reduced geopolitical risk premium
Early signs of Hormuz flows improving
Front-end oil curve repricing lower
Back-end forecasts unchanged
Brent: $82/$80 (Q3/Q4)
WTI: $77/$75 (Q3/Q4)
Structural supply-demand still supportive
Distinction between short-term vs long-term outlookGoldman Sachs has lowered its near-term oil price forecasts, citing a reduction in geopolitical risk premia and early signs that crude flows through the Strait of Hormuz are beginning to recover.The bank now expects Brent and WTI to average $90 and $87 per barrel respectively in the second quarter, marking a downgrade from previous projections as front-end pricing adjusts to easing tensions following the U.S.-Iran ceasefire.Goldman said the shift reflects a compression in the risk premium embedded in oil markets, particularly at the front of the futures curve, where prices had surged on fears of prolonged disruption to Middle Eastern supply. Recent developments, including tentative improvements in shipping flows through the Strait of Hormuz, have helped temper those concerns.However, the bank maintained a more cautious longer-term outlook, leaving its forecasts for the second half of 2026 unchanged. Goldman continues to see Brent at $82/$80 and WTI at $77/$75 across the third and fourth quarters, suggesting that while near-term risks have eased, the broader supply-demand balance remains intact.The unchanged back-end forecasts highlight the bank’s view that structural factors—including global demand resilience and constrained supply—continue to support oil prices even as immediate geopolitical tensions show signs of stabilisation.The update underscores the importance of distinguishing between short-term risk premium dynamics and longer-term fundamentals. While ceasefire optimism has driven a pullback in front-month pricing, uncertainty around the durability of the agreement and the full restoration of flows through Hormuz remains a key variable for markets.
This article was written by Eamonn Sheridan at investinglive.com.
💡 DMK Insight
Goldman’s recent oil forecast cut signals a shift in market sentiment, and here’s why that matters: The reduction in near-term oil prices to $90 for Brent and $87 for WTI reflects a fading geopolitical risk premium, particularly as tensions in the Strait of Hormuz show signs of easing. This could lead to a more stable supply outlook, which is crucial for traders focused on short-term positions. The front-end oil curve repricing lower suggests that traders might want to reassess their bullish bets, especially if the market continues to stabilize. However, Goldman’s unchanged long-term outlook at $82 for Brent and $77 for WTI indicates that while short-term volatility may decrease, structural factors could still support prices in the future. It’s worth noting that this shift could have ripple effects across related markets, such as energy stocks and ETFs, which often react to oil price movements. Traders should keep an eye on the $80 level for Brent and $75 for WTI as potential support zones. If these levels hold, it could signal a buying opportunity for those looking to capitalize on a longer-term bullish trend despite the current bearish sentiment.
📮 Takeaway
Watch for Brent to hold above $80 and WTI above $75; failure to do so could signal further downside risk in oil markets.
