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comment | "parent_author":"",<br>"parent_permlink":"market",<br>"author":"freetherobots",<br>"permlink":"oil-demand-on-the-rise-for-2018",<br>"title":"Oil demand on the rise for 2018!!!",<br>"body":"https:\/\/s.yimg.com\/bt\/api\/res\/1.2\/ZgsT_q262xdbqIjV5Yp48A--\/YXBwaWQ9eW5ld3M7c209MTt3PTgwMDtpbD1wbGFuZQ--\/http:\/\/globalfinance.zenfs.com\/images\/CA_AHTTP_REUTERS_OLCABUS_WRAPPER_H_NEW\/2018-02-13T093319Z_2_LYNXMPEE1C0K8-OCABS_RTROPTP_3_CBUSINESS-US-IEA-OIL_original.jpg\n\nBy Amanda Cooper\n\nLONDON (Reuters) - The rise in global oil production,<br> led by the United States,<br> is likely to outpace growth in demand this year,<br> the International Energy Agency said on Tuesday.\n\nThe Paris-based IEA raised its forecast for oil demand growth in 2018 to 1.4 million barrels per day,<br> from a previous projection of 1.3 million bpd,<br> after the International Monetary Fund upped its estimate of global economic growth for this year and next.\n\nOil demand grew at a rate of 1.6 million bpd in 2017,<br> the IEA said in its monthly market report.\n\nHowever,<br> the rapid rise in output,<br> particularly in the United States,<br> could well outweigh any pick-up in demand and begin to push up global oil inventories,<br> which are now within sight of their five-year average.\n\n\"Today,<br> having cut costs dramatically,<br> U.S. producers are enjoying a second wave of growth so extraordinary that in 2018 their increase in liquids production could equal global demand growth,<br>\" the IEA said.\n\n\"In just three months to November,<br> (U.S.) crude output increased by a colossal 846,<br>000 bpd and will soon overtake that of Saudi Arabia. By the end of this year,<br> it might also overtake Russia to become the global leader.\"\n\nU.S. crude output could reach 11 million bpd by the end of this year,<br> according to estimates from the U.S. Energy Information Administration.\n\nThe Organization of the Petroleum Exporting Countries,<br> along with other exporters such as Russia,<br> have agreed to maintain a joint restriction on crude supply for a second year running in 2018,<br> to force inventories to drain and support prices.\n\nOil inventories across the world's richest nations fell by 55.6 million barrels in December to 2.851 billion barrels,<br> their steepest one-month drop since February 2011,<br> the IEA said.\n\nFor 2017 as a whole,<br> inventories fell by 154 million barrels,<br> or at a rate of 420,<br>000 bpd. By the year-end they were only 52 million barrels above the five-year average,<br> with stocks of oil products below that benchmark,<br> the IEA said.\n\n\n\n\"With the surplus having shrunk so dramatically,<br> the success of the output agreement might be close to hand. This,<br> however,<br> is not necessarily the case: oil price rises have come to a halt and gone into reverse,<br> and,<br> according to our supply\/demand balance,<br> so might the decline in oil stocks,<br> at least in the early part of this year.\"\n\nOil production outside OPEC nations fell by 175,<br>000 bpd in January to 58.6 million bpd,<br> but was still 1.3 million bpd higher than January last year,<br> predominantly because of the 1.3-million-bpd year-on-year increase in U.S. output.\n\nOPEC output was largely steady at 32.16 million bpd in January and compliance with the supply deal reached 137 percent,<br> due in part to declines in Venezuela,<br> where economic crisis has paralyzed much of the country's oil production capacity.\n\nThe IEA estimates demand for OPEC's crude in 2018 will average 32.3 million bpd,<br> after dropping to 32.0 million in the first quarter of the year.\n\nThe IEA said oil prices,<br> which briefly touched a high of $71 a barrel in January,<br> could be supported even if U.S. production rises,<br> provided global growth remains strong,<br> or if unplanned supply outages persist.\n\n\"If so,<br> most producers will be happy,<br> but if not,<br> history might be repeating itself,<br>\" the IEA said.",<br>"json_metadata":" \"tags\":[\"market\",<br>\"oil\",<br>\"news\",<br>\"financial\",<br>\"blog\" ,<br>\"image\":[\"https:\/\/s.yimg.com\/bt\/api\/res\/1.2\/ZgsT_q262xdbqIjV5Yp48A--\/YXBwaWQ9eW5ld3M7c209MTt3PTgwMDtpbD1wbGFuZQ--\/http:\/\/globalfinance.zenfs.com\/images\/CA_AHTTP_REUTERS_OLCABUS_WRAPPER_H_NEW\/2018-02-13T093319Z_2_LYNXMPEE1C0K8-OCABS_RTROPTP_3_CBUSINESS-US-IEA-OIL_original.jpg\" ,<br>\"app\":\"steemit\/0.1\",<br>\"format\":\"markdown\" " |
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