Goldman Report Mentions $20 Oil Amid Forced Selling

With oil trading near $34.68 in the early morning hours, below Goldman Sachs’ $38 per barrel three month West Texas Intermediate price target, the salient question is: is oil just mean reverting from Goldman’s price average or are more fundamental issues at play? Looking at storage capacity, a report out Thursday titled “The New Oil Order: Crunch Time” has a nuanced take on where oil is headed as it looks forward to a point when forced selling might take place. To a value investor, the concept of “forced selling” is akin to Pavlov’s dinner bell. Goldman’s $20 oil price thesis…