Oil Could Drop as Low as $20, Goldman Says

May be the new president picks another country, and then the price will be revised upwards...

goldman playing a huge short LOL

Couldnt ask for a better reason to exit some of my shorts.

LOLz Pharm0r, your contrarian response made me chuckle

We talking about the same Goldman that is calling for a sub parity EUR/USD ?

We might go back down to around $37 for WTI where it was back in last week of August ... BUT not knowing who the USA is going to war with next, that might certainly change things cuz very likely it is going to be some middle eastern oil influencing country :|

We sit on our hands and watch

....so is that worse than the dairy market?

These kinds of idiotic forecasts are typical because market works on fear and greed.
Oil will test 55 in coming months with winter consumption increasing heating oil.
I am long bias

Well, there is an 'if' condition in the statement/report. So OPEC can minimize the amount of the fall.

Could happen you never know! I see 30 a more imaginable target.

this will not happen goldman lies.

I remember goldman calling for $200 oil earlier this year.

...the inflation adjusted low from the 90s is currently around $17.

In the 90s oil dropped to $10 (give or take a few cents) and offshore prospecting shut down almost completely as a result.

Any kind of macro call like this or a long term view like this doesn't really mean it is Goldman's view or that GS is short oil. The way it works is that every investment bank like GS has a research department for FX, rates, cross-asset, equities, commodities, derivatives etc., basically for everything. So this only means that the main oil strategist / analyst at GS has this bearish view (not the whole company). Strategists or economists are mostly useless (have never seen a trader even within that particular bank taking a position based on his strategist's view) as the only thing they do is "projecting" old trends into the future and just finding the right rationale to explain that view. They also never go against the market consensus, because if you are with the consensus and you are wrong you just tell to your boss that "nobody saw it coming". But if you are against the market consensus and you get it wrong you can get fired because you are "the only idiot who didn't see it coming".

GS has no credibility after 2008 - imho. These are not financial experts. They are more like used car salesmen. They should have died like the rest in 2008.