The price of Brent crude oil has declined to below $86 a barrel after US investment bank Goldman Sachs cut its price forecasts earlier today.

Reuters reported that for December, Brent dropped to 25 cents at $85.88 a barrel while US crude was up by two cents to $81.03 a barrel for the same period.

Citing Goldman Sachs’ research, the news agency reported that for the first quarter of 2015, the bank has cut its prediction for Brent to $85 a barrel from $100, with the US crude forecast being lowered to $75 from $90.

The bank also said that Brent may decline further to $80 a barrel in the second quarter of 2015, with US crude reaching as low as $70.

"The bank said Brent may decline to $80 a barrel in the second quarter of 2015, with US crude as low as $70."

The Organization of the Petroleum Exporting Countries (OPEC) is scheduled to meet on 27 November in Vienna, Austria, to consider adjusting its output target of 30 million barrels a day for the first half of 2015.

Libya is supporting a cut in production, while several OPEC members, including Iran, Kuwait and Saudi Arabia, all played down talks of any reduction in oil output.

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By GlobalData

According to Kuwait state news agency KUNA, the country’s oil minister said the lower oil prices will not affect its development plan. The disruption in Iraq and Libya did not affect the worldwide oil supply.