Goldman Sachs: $68/Barrel

Goldman Sachs, who previously suggested $105/barrel prices for oil would be required to nick demand, now says 2006 crude oil will hit $68/barrel, projecting oil will be in the $60-70 price range for years to come.

Crude oil rose for the first day in four after Goldman Sachs Group Inc. raised its price forecast for next year to $68 a barrel, saying oil will stay at around $60 for years to come.

Goldman's projection for New York crude prices for 2006 was boosted from $55 a barrel. The forecast for oil to stay at $60 after that was raised from $45 a barrel because of lagging investment in new oil projects, according to the Aug. 17 report by Jeffrey Currie and Steve Strongin.