Today, the IEA – International Energy Agency published its monthly report on the global crude oil market as of October 2011.
During October, OPEC’s oil production slightly rose to 30.01 million bbl/d compared with September’s average oil production; this was mainly due to the increase in Libya’s oil production quota.
The global oil supply also rose by 1.0 mbbl/d to 89.3 mb/d during October from September 2011, mainly due to the increase in non-OPEC countries’ oil production.
The global oil demand projection was revised down again by 70 kb/d to an average of 89.2 mb/d in 2011, which is a slight increase of 0.9 million bbl/d compared with 2010’s rate.
In the report, the OECD industry oil inventories are estimated to decline by 11.8 million bbl to 2,684 million bbl. The oil stockpiles are still below the 5-year average for three consecutive months; this means that the tight oil market in OECD countries, mainly in Europe was probably among the reasons for keeping the gap between Brent oil and WTI wide and also pressure crude oil prices to remain high.
Despite the news of a revised down on global oil demand, current crude oil prices are traded down in markets:
Current Nymex crude oil price, short term futures (December 2011 delivery) is traded up by 1.92%, as its at $97.58 per barrel as of 13:27*.
Current Dated Brent spot oil price inclines by $0.78/b to $113.00 / barrel as of 13:37*.
Euros to US dollar exchange rate is currently traded up at 1.3628 a 0.6363% increase as of 13:34*.
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