Glut alert! Oil demand slowing, production still high
- 8 years ago
Oil prices were down again on Tuesday following pessimistic predictions about the growth in demand.
The International Energy Agency (IEA) said global oversupply will continue at least through the first half of next year, longer than it had previously predicted.
Just a month ago the IEA had forecast supply and demand would be broadly in balance for the rest of this year and said it expected inventories to fall swiftly.
But in its latest monthly report the agency said consumption growth has dipped to its lowest in two years, with China and India buying less crude.
At the same time OPEC’s members in the Gulf continue to pump at record levels even as production has declined in other parts of the world.
The forecast could put pressure on producers at a meeting later this month in Algeria when possible curbs on output will be discussed.
Our September #oil market report showing global oil demand is slowing faster than predicted is out now https://t.co/xAApOryLRi #OOTT— IEA (@IEA) September 13, 2016
The International Energy Agency (IEA) said global oversupply will continue at least through the first half of next year, longer than it had previously predicted.
Just a month ago the IEA had forecast supply and demand would be broadly in balance for the rest of this year and said it expected inventories to fall swiftly.
But in its latest monthly report the agency said consumption growth has dipped to its lowest in two years, with China and India buying less crude.
At the same time OPEC’s members in the Gulf continue to pump at record levels even as production has declined in other parts of the world.
The forecast could put pressure on producers at a meeting later this month in Algeria when possible curbs on output will be discussed.
Our September #oil market report showing global oil demand is slowing faster than predicted is out now https://t.co/xAApOryLRi #OOTT— IEA (@IEA) September 13, 2016