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Brent crude oil extended its decline to a third day, dropping towards $85 a barrel on Tuesday, still under pressure from a Goldman Sachs report that slashed price forecasts amid a global supply glut.
Citing rising production and insufficient demand, Goldman Sachs on Sunday cut its forecast for Brent to $85 a barrel from $100 for the first quarter of 2015 and reduced its projection for U.S. crude to $75 from $90.
Analysts from other major banks have also cut forecasts for 2014 and 2015 crude oil prices, citing global growth concerns, a strengthening dollar and ample supplies.
London Brent crude for December delivery was trading 22 cents lower at $85.61 a barrel by 0743 GMT, after dropping 30 cents by the close on Monday. US crude for December delivery was down 21 cents at $80.79 a barrel.
