IEA warns of considerable oversupply within the oil market next year – Commerzbank
In its monthly picture, the Worldwide Energy Company (IEA) painted a bleak image for oil query, Commerzbank’s Commodity Analyst Carsten Fritsch notes.
China to perceive an expand in query of 180,000 bpd in 2024
“Within the first half of of the year, it elevated by handiest 800,000 barrels per day in contrast with the outdated year. Right here is handiest one-third of the expand within the outdated year. For the year as a complete, the IEA expects query to develop by 900,000 barrels per day. In July, query for oil in China was down year-on-year for the fourth consecutive month.”
“The IEA now expects China to perceive an expand in query of 180,000 barrels per day in 2024. The enlargement engine China has thus become a lunge on boost. For next year, the IEA expects handiest a tiny acceleration. World oil query is anticipated to expand by 950 thousand barrels per day, with query in China rising by 260 thousand barrels per day. This variety that global query boost would stagger within the help of the IEA’s anticipated expand in non-OPEC oil offer.”
“As a consequence, the name on OPEC oil will tumble to a median of 26.2 million barrels per day next year. That is a correct 1 million barrels per day no longer up to OPEC’s recent production. OPEC would therefore finally would prefer to diminish offer next year to cope with a long way off from a surplus. The gradual expand in production that has been deliberate in the past would consequence in a considerable oversupply.”
Data on these pages contains forward-taking a gaze statements that agree with risks and uncertainties. Markets and devices profiled on this page are for informational capabilities handiest and could well presumably also no longer in any formulation stumble upon as a advice to rob or promote in these belongings. You have to well carry out your agree with thorough analysis earlier than making any investment choices. FXStreet does no longer in any formulation recount that this knowledge is free from mistakes, errors, or fabric misstatements. It moreover does no longer recount that this knowledge is of a timely nature. Investing in Open Markets entails a immense deal of possibility, including the shortcoming of all or a portion of your investment, as neatly as emotional hurt. All risks, losses and expenses related to investing, including complete lack of major, are your accountability. The views and opinions expressed listed below are those of the authors and carry out no longer necessarily mirror the official coverage or location of FXStreet nor its advertisers. The author could well presumably also no longer be held accountable for knowledge that is stumbled on on the terminate of hyperlinks posted on this page.
If no longer otherwise explicitly talked about within the body of the article, on the time of writing, the writer has no location in any stock talked about listed here and no industrial relationship with any firm talked about. The author has no longer received compensation for penning this text, as adversarial to from FXStreet.
FXStreet and the writer carry out no longer provide personalized strategies. The author makes no representations as to the accuracy, completeness, or suitability of this knowledge. FXStreet and the writer could well presumably also no longer be liable for any errors, omissions or any losses, injuries or damages rising from this knowledge and its showcase or use. Errors and omissions excepted.
The author and FXStreet need to no longer registered investment advisors and nothing listed here is supposed to be investment advice.
