Oil prices could surpass $120 per barrel if disruptions in Strait of Hormuz don’t ease, says Goldman Sachs

Oil prices are expected to spike significantly, potentially surpassing $120 per barrel, if ongoing disruptions in the Strait of Hormuz persist. Goldman Sachs analysts, led by Daan Struyven, warn that this critical shipping route's instability could push prices well above current levels, averaging $100 per barrel next year if the situation doesn't improve. This matters because the Strait of Hormuz is crucial for global oil supply, and any prolonged disruptions could have severe economic repercussions worldwide, impacting everything from fuel costs to broader inflation.