Oil prices continue surge; Goldman Sachs lifts target to $90 a barrel

November Brent crude BRNX21, +1.81%, the global benchmark, was up $1.29, or 1.8%, at $79.38 a barrel on ICE Futures Europe. December Brent BRN00, +1.81% BRNZ21, +1.81%, the most actively traded contract, was up $1.35, or 1.7%, at $79.44 a barrel.

November West Texas Intermediate crude CL00, +1.88% CLX21, +1.88% rose $1.30, or 1.8%, to $75.28 a barrel on the New York Mercantile Exchange.

Brent crude futures BRN00, +1.81% rose 1% to $78.12 per barrel, and the West Texas Intermediate contract CL.1, +1.88% added 1% to $74.79.

Analysts at Goldman Sachs, led by Damien Courvalin, lifted their year-end forecast on Brent crude-oil to $90 a barrel from $80, citing the aftereffects of the storm and rising demand, particularly in Asia. The analysts said Ida should prove to be the most bullish hurricane in U.S. history, canceling the ramp-up in OPEC+ output since July.

At the same time, global oil demand is back to converging to pre-COVID levels. Traffic congestion in China quickly recovered after a summer dip. The delta-driven decline in global flights was smaller than the analysts initially feared.

Natural-gas futures NG00, +6.12% meanwhile rose nearly 5%. “An upgraded probability of a second La Niña event this winter will keep gas buyers scouring markets for supplies,” said analysts at BCA Research.