Oil prices may plunge below $50 per barrel if a peace agreement between Russia and Ukraine lifts Western sanctions, triggering a gradual recovery in Russian oil supply and easing geopolitical risk premiums across energy markets, according to analysts at Goldman Sachs.
Crude futures have already declined 5% in the past week, with WTI – as tracked by the United States Oil Fund (NYSE:USO) – dropping to $57 a barrel, as traders weigh the growing potential for a U.S.-mediated truce between Moscow and Kyiv.
