Goldman cuts Brent forecast by $15 for 2015

Says rising production in non-OPEC countries outside North America is expected to outstrip demand

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Goldman Sachs cuts its price forecast for Brent and West Texas Intermediate by $15 a barrel for the first quarter of 2015, saying rising production in non-OPEC countries outside North America is expected to outstrip demand.

The US investment bank cut its forecast for WTI to $75 a barrel from $90 and for Brent to $85 a barrel from $100, it said in a research note on Sunday.

The bank's analysts expect WTI to fall to as low as $70 a barrel and Brent to $80 a barrel during the second quarter of next year, when it expects oversupply to be the most pronounced. Prices are forecast to rise back to $75 for US and $85 for Brent for the second half of 2015, Goldman said.

US crude futures edged up on Monday to hold above $81 a barrel, following a four-week slide that has pulled prices down by nearly 10% amid abundant supply amid and weak demand.

NYMEX crude for December delivery was up 4 cents at $81.05 a barrel by 0104 GMT, after settling down $1.08 on Friday following a spike up on Thursday on news that Saudi Arabia had boosted production but cut supplies to the market in September.

London Brent crude for December delivery was down 19 cents at $85.94 a barrel, after settling down 70 cents.