.png)
IEA: oil demand will grow by a substantial 2.2 million bpd this year. Oil prices remain stubbornly low despite this upbeat demand outlook. Traders continue to focus on short-term demand data rather than the more bullish demand/supply balance for later this year. In its latest Oil Market Report, the International Energy Agency forecast that global oil demand would hit 102 million barrels daily, driven by China, whose oil demand, according to the IEA, reached 16 million bpd two months ago. According to the IEA, oil demand will grow by a substantial 2.2 million bpd this year. A week ago, in its latest Monthly Oil Market Report, OPEC left its global oil demand growth forecast unchanged but revised its expectations of Chinese demand upwards: the cartel now expects it to grow by 800,000 bpd, up from an earlier forecast of 760,000 bpd. Meanwhile, oil prices remain stubbornly low despite this upbeat demand outlook. In fact, prices took a dip on the same day that the IEA released its report, which is unequivocally bullish. Why? Because data coming out of China showed that industrial activity and retail sales growth were weaker in April than forecast. There appears to be a major […]
CamTrader offers a preview only. View original article. oilprice.com
