Brent crude price likely to climb to $77 in Q4: Goldman Sachs

Oil drilling rigs

Oil prices may rise in the fourth quarter of this year, analysts at Goldman Sachs said, anticipating a global supply decline of 500,000 barrels per day (bpd).

The bank expects production to decline in the shale oil regions of Canada, Russia, and the United States.

Brent crude prices are forecast to reach $77 per barrel in Q4, buoyed by a 50-basis point cut in the Federal Reserve's interest rates and strong economic data.

Additionally, Goldman Sachs expects global demand to trend upward, particularly in OECD countries and China, with the possibility of further easing in Chinese monetary policy.

According to the bank’s estimates, demand has averaged approximately 700,000 bpd higher over the past 90 days.