Oil Falls More than 2 Percent due to Oversupply, China’s Weakening Economy

Oil prices fell more than 2 percent after Goldman Sachs and Commerzbank slashed their crude forecasts


Sept. 11, 2015—Oil prices fell more than 2 percent on Friday after Goldman Sachs and Germany's Commerzbank both slashed their crude forecasts, citing oversupply and concerns over China's economy.

Joining a long list of banks cutting price projections, Goldman Sachs on Friday lowered its 2016 forecast for U.S. crude to $45 from $57, and said it saw 2016 brent prices at $49.50, down from its earlier $62 forecast.

"The oil market is even more oversupplied than we had expected and we forecast this surplus to persist in 2016," Goldman said in a note entitled "Lower for even longer."

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