Goldman Warns Oil Could Hit $120 as Middle East War Drags On

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Goldman Sachs forecasts oil prices could rise to $120 per barrel if the Middle East conflict continues and the Strait of Hormuz remains closed longer than expected. The ongoing geopolitical tensions have already caused oil flows in the Persian Gulf to fall below half of pre-war levels, pushing prices upward.

Crude oil prices could surge to $120 per barrel towards the end of the year if the war in the Middle East extends and the Strait of Hormuz remains closed for longer, Goldman Sachs has warned in its latest prediction in response to geopolitical developments in the Middle East. "Escalation in the Middle East and the decline in estimated Persian Gulf flows to below 45% of pre-war levels have pushed oil prices back up," Goldman's commodity analysts said in a note, as quoted by Bloomberg. This is not the first bullish oil price prediction from the investment…