Goldman Sachs: Oil Price Plunge Is Not Justified By Fundamentals

The recent oil price decline is not justified by fundamentals, Goldman Sachs says, keeping its estimate of Brent averaging $85 per barrel in Q4. The move lower in oil prices so far this month has been excessive amid overblown worries about a strategic petroleum reserve (SPR) release and a hit to demand from the COVID resurgence in Europe and the United States, the U.S. investment bank said in a note to clients carried by Argus. Since the end of October, Brent Crude prices have dropped by $8 per barrel to below $80 late last week. Concerns about…