The bank notes that shipments through the Strait of Hormuz have dropped about 90%, cutting roughly 18% of global oil supply and potentially accelerating price-driven demand collapse.
Goldman Sachs warned that global oil prices could rise to demand-destruction levels sooner than expected due to severe supply disruptions. According to the bank, shipments through the Strait of Hormuz — a critical chokepoint for global energy transit — have fallen by around 90%, effectively removing 18% of global oil supply from the market. The decline in exports could push oil prices higher at a faster pace than historical models predict, leading to reduced consumption as buyers are priced out. Brent crude briefly fluctuated as markets reacted to the news.