Goldman Sees Commodities Rally on Russia-Ukraine Crisis, Sanctions

Goldman Sees Commodities Rally on Russia-Ukraine Crisis, Sanctions
A well head and drilling rig in the Yarakta oilfield, owned by Irkutsk Oil Company (INK), in the Irkutsk region, Russia, on March 11, 2019. Vasily Fedosenko/Reuters
|Updated:

Goldman Sachs expects a rise in the prices of commodities that Russia is a major producer of and lifted its short-term Brent crude forecast as the West stepped up political and economic sanctions on Moscow for its invasion of Ukraine.

“The range of near-term price outcomes for commodities has become extreme, given the concern of further military escalation, energy sanctions or potential for a cease-fire.” Goldman said in a note to clients on Sunday.