Careful of soaring oil prices? Goldman Sachs warns: the oil market is completely unprepared for escalation in the Middle East conflict.
Goldman Sachs analyst Lindsay Matcham stated that further escalation of the conflict may have a significant impact on the market, especially if the conflict involves the potential closure of the Strait of Hormuz, which could likely lead to a surge in local oil prices; Goldman Sachs analyst Lina Thomas, in another report, highlighted four short-term positive drivers in the crude oil market - mentioning the Middle East trend.
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Negotiations to restart the crisis at the Central Bank of Libya, recent warming in oil prices may return to a downward trend.
The competitors of this OPEC country's government have differences regarding the central bank governor issue; the stalemate has led to a significant decrease in crude oil production, triggering a tense mediation.
Oil: The End of an Era – Rabobank
