Goldman Sachs Plunges 4.57% Amid Oil Price Cut, Versace Deal

On April 4, 2025, Goldman Sachs experienced a significant drop of 4.57% in pre-market trading, reflecting broader market sentiment and specific challenges faced by the investment banking giant.

Goldman Sachs has revised its forecast for Brent crude oil prices, lowering it by 7% due to the impact of the trade war and the unexpected increase in production by OPEC+. The bank's analysts, led by Daan Struyven, reduced the December price prediction for Brent crude by $5 to $66 per barrel, with an average annual price forecast of $69. The analysts noted that the economic recession risk is increasing, which could lead to sustained high volatility in oil prices.

In addition to the oil price forecast, Goldman Sachs is involved in a significant financial deal. According to reports, a consortium of banks led by Goldman Sachs is preparing to offer a €25 billion credit line to Prada to facilitate its acquisition of Versace, a subsidiary of Capri Holdings. Approximately €15 billion of this credit line will be used for the acquisition, while the remaining €10 billion will be allocated to revitalize the struggling target company.