1 billion barrels of excess oil: Goldman Sachs says oil is set to fall again because of a ‘significant’ inventory overhang as US producers turn pumps back on

Oil prices have surged in recent weeks, with Brent crude up 35% since May 1.  Goldman Sachs says that rally will end in the coming weeks and prices will fall.  The bank says there are still 1 billion barrels of excess oil and demand is lower than expected.  Meanwhile, some US producers are starting to reverse well shut-ins — a move that Goldman calls “premature.” For more stories like this, sign up here for our weekly energy newsletter, Power Line.

In May, US crude oil posted its sharpest monthly gains on record. The price per barrel surged