Goldman warns global oil inventories have fallen to their lowest level in nearly 8 years, keeping energy price risks difficult to cool quickly.

📌 Global oil inventories now stand at only around 101 days of demand, according to Goldman Sachs, the lowest level in nearly 8 years. This shows the oil market has fewer safety buffers while supply remains constrained by tensions around Hormuz.
⚠️ If the Strait of Hormuz remains heavily restricted, Goldman estimates inventories could fall to 98 days of demand by the end of May. The key issue is not only the low inventory level, but also the faster-than-expected pace of stock depletion.
🔎 Pressure is also spreading to refined products, with reserves of gasoline, diesel, jet fuel, and naphtha falling from 50 days to 45 days. This could make logistics, aviation, chemicals, and consumer fuel costs more sensitive to any new shock.
💡 Therefore, even if oil prices see a short-term pullback, the market may remain highly volatile if Hormuz does not reopen steadily. Low inventories are turning every shipping or supply disruption into a stronger catalyst for oil prices.
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