The information obtained from these consultations helped shape the key assumptions and final projections.
Next Highlights The outlook for global oil demand growth is largely unchanged at 1. Oil demand is slowing in several non-OECD countries, as the impact of higher year-on-year prices is amplified by currency devaluations and slowing economic activity.
Global oil supplies are growing rapidly, as record output from Saudi Arabia, Russia and the US more than offsets declines from Iran and Venezuela. October output was up 2. Non-OPEC output will grow by 2.
The call on OPEC crude falls to After a refine products stocks build of 0. OECD commercial stocks rose counter-seasonally by In 3Q18, stocks increased by OECD holdings are likely to exceed the 5-year average when October data is finalised. Brent and WTI futures curves have flipped to contango.
Except for gasoline and naphtha, product prices did not match the drop in crude prices. Heeding the warnings In last month's Report, we noted that since the middle of the year oil supply had increased sharply, with gains in the Middle East, Russia and the United States more than compensating for falls in production in Iran, Venezuela and elsewhere.
Already, OECD stocks have increased for four months in a row, with products back above the five-year average. In the August edition of this Report we described the replacement of Iranian and Venezuelan barrels as "challenging", and that there was a danger of prices rising too high too fast.
Russia's crude output has hit a new record of In our view, this was a dangerous "red zone" and it justified calls for producers to raise output. Lower prices are clearly a benefit to consumers, especially hard-pressed ones in developing countries that are suffering from the additional handicap of weak national currencies.
For now, forecasts of oil demand growth remain solid with an increase of 1. We should also recognise the interests of the producers. For many countries, even though their output might have increased, prices falling too far are unwelcome.
Ministers from the Vienna Agreement countries will meet in early December, but we have already seen suggestions from leading producers that supply could be cut soon if customers, seeing ample supply, rising stocks, and slumping refining margins, request lower volumes.
Although the oil market appears to be more relaxed than it was a few weeks ago, and there might be a sense of "mission accomplished" that producers have met the challenge of replacing lost barrels, such is the volatility of events that rising stocks should be welcomed as a form of insurance, rather than a threat.
The United States remains committed to reducing Iranian oil exports to zero from the 1. The response to the call by the IEA and others to increase production is a reminder that the oil industry works best when it works together.By FS Staff (Source: Bloomberg) Listen to this podcast on our site by clicking here or subscribe on iTunes here.
While oil prices trade above $60 a barrel, up o. The outlook for global oil demand growth is largely unchanged at mb/d in and mb/d in , as a weaker economy is largely offset by lower oil prices.
OECD demand is expected to increase by kb/d in , slowing to kb/d in McKinsey Energy Insights (MEI), an energy data and analytics specialist in London, has released its latest Global Oil Supply and Demand Outlook to , which identifies five potential supply and.
The Outlook for Energy is our long-term global view of energy demand and supply. Its findings help guide our long-term investments, and we share The Outlook to help promote better understanding of the issues shaping the world’s energy future.
Global Supply/Demand Oil Outlook Posted on June 19, July 2, by Robert Boslego The Energy Information Administration updated its global supply/demand oil outlook for June. One of the world’s most influential oil consultancies has forecast that global oil demand will peak within 20 years, as a “tectonic” shift in the transport sector towards electric cars and.