IEA revised down its projection on oil demand– September report

Today, the IEA – International Energy Agency published its monthly report on the global oil market for August 2011.

During August, OPEC’s oil production slightly inclined by nearly 165 k bbl/d to 30.26 million bbl/d compared with July’s average oil production; Due to the end of civil war in Libya the IEA has revised its projections for Libyan oil production in Q4 2011 to 0.3 million bbl/d – an increase of 0.2 million bbl/d.

The worldwide oil demand projection was revised down by 0.2 mb/d to an average of 89.3 mb/d in 2011.

The global oil supply inclined by 1.0 mbbl/d during August from July 2011, mainly due to the increase in non-OPEC countries’ oil production by 0.8 million bbl/d mainly US and Latin America.

In the report there are also estimated rises in OECD industry oil inventories of 10.8 million bbl to 2,687 million bbl. Yet the oil stockpiles have fallen below the 5-year average for the first time since 2008; this means that the tight oil market in OECD countries, mainly in Europe was probably among the reasons for the rise in gap between Brent oil and WTI.    

Current Nymex crude oil price, short term futures (October 2011 delivery) is traded up by 2.09%, as its at $90.03 per barrel as of 18:33*.

Current Dated Brent spot oil price declines by $0.54/b to $111.97 / barrel as of 18:33*.

Euros to US dollar exchange rate is currently traded up at 1.3727 a 0.3509% increase as of 18:40*.

S&P500 index is traded up with a 0.64% increase to 1,169.69 as of 18:40*.

(* GMT)


For more on this subject: