Arab Today, arab today opec oil glut to ease
Last Updated : GMT 07:55:03
Arab Today, arab today
Arab Today, arab today

OPEC: Oil glut to ease

Arab Today, arab today

Arab Today, arab today OPEC: Oil glut to ease

The oil price is now at just under $50 a barrel
Vienna - AFP

OPEC said Monday a supply glut in the world's oil market is likely to shrink further, leading to a more balanced market by the end of the year.

"The excess supply in the market is likely to ease over the coming quarters," the Organization of the Petroleum Exporting Countries said in its June report.

The oil price is now at just under $50 a barrel, having recovered in recent months from a slide that saw it tumble from over $100 in 2014 to close to $25 in January.

In its report, OPEC attributed the recovery to a myriad of factors, including a weaker dollar, falling production in the US and forecasts of a sharp fall in non-OPEC oil supply this year, partly due to disruptions in some producer countries.

Falling US inventories and production and the impact of wildfires in Canada curbed supply, as did rebel attacks in Nigeria and an oil refinery strike in France.

But OPEC also warned that there was still much more oil available than demand for the commodity, and inventories continued high.

"There is still a massive global supply overhang," it said.

However, OPEC said solid economic growth across the world, despite a weak start to the year, was likely to underpin future oil demand.

Global gross domestic product (GDP) is expected to rise to 3.1 percent this year after 2.9 percent last year.

"Provided that there is a clearer picture regarding oil supply and demand, the expected improvement in global economic conditions should result in a more balanced oil market toward the end of the year," OPEC predicted.

OPEC itself has done little to correct the market's imbalance, failing earlier this month to agree on any production ceilng at a key meeting and deciding instead to keep oil gushing as the moderate recovery in the oil price eased pressure to limit output.

Kingpin Saudi Arabia said at the time that the cartel was "very satisfied" with the market.

- Speculators lose interest -

World demand for oil is projected to rise by 1.2 million barrels per day in the second half of the year compared to the same period in 2015, taking global oil demand to an average 94.18 mb/d for the whole year, the cartel said Monday.

Demand in the developed economies belonging to the Organization for Economic Cooperation and Development (OECD) is expected to be strongest in the Americas, flat in Europe and contracting in Asia.

Outside of the OECD area, demand is expected to be vibrant in India thanks to solid economic growth, but mixed in China.

On the supply side, non-OPEC production is projected to decline, notably so in the former Soviet republics and Russia.

However, OPEC noted that oil market operators who re-entered the market with enthusiasm in May became "somewhat less interested in long positions" by the end of the month amid renewed worries about a global overhang of oil stocks.

In Asian trading Monday, WTI was down 62 cents, or 1.26 percent, at $48.45 a barrel while Brent fell 61 cents, or 1.21 percent, to $49.93.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today opec oil glut to ease Arab Today, arab today opec oil glut to ease

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today opec oil glut to ease Arab Today, arab today opec oil glut to ease

 



Arab Today, arab today
Arab Today, arab today Designer Aql Faqih aspires to innovation

GMT 18:41 2017 Friday ,20 October

Designer Aql Faqih aspires to innovation
Arab Today, arab today Italy regions back 'big bang' autonomy

GMT 07:10 2017 Monday ,23 October

Italy regions back 'big bang' autonomy
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today Syrian children die of hunger

GMT 19:25 2017 Sunday ,22 October

Syrian children die of hunger
Arab Today, arab today Maltese demand justice for murdered

GMT 06:08 2017 Monday ,23 October

Maltese demand justice for murdered
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today World's deepest lake in peril

GMT 15:54 2017 Friday ,20 October

World's deepest lake in peril
Arab Today, arab today Ex-French minister Dati wants tough action

GMT 10:54 2017 Thursday ,19 October

Ex-French minister Dati wants tough action
Arab Today, arab today Delhi braces for pollution 'airpocalypse'

GMT 16:07 2017 Friday ,20 October

Delhi braces for pollution 'airpocalypse'
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Tesla to build wholly-owned plant

GMT 07:55 2017 Monday ,23 October

Tesla to build wholly-owned plant
Arab Today, arab today EU raids automaker BMW

GMT 11:06 2017 Saturday ,21 October

EU raids automaker BMW
Arab Today, arab today Actress Mona Zaki praises husband’s role

GMT 08:15 2017 Thursday ,19 October

Actress Mona Zaki praises husband’s role
Arab Today, arab today Massacre fears spark race

GMT 19:09 2017 Thursday ,19 October

Massacre fears spark race

GMT 08:57 2017 Wednesday ,18 October

Actress Shery Adel happy for Egypt’s qualification

GMT 18:15 2017 Monday ,16 October

British actress becomes fifth woman

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam

GMT 16:00 2017 Wednesday ,18 October

Climate-disrupting volcanoes helped topple

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 06:07 2017 Sunday ,22 October

15,000 Under Fives Die

GMT 12:54 2017 Saturday ,21 October

Malaysia Airlines picks new CEO

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 20:46 2017 Thursday ,19 October

Qualcomm files lawsuits in China to ban iPhones

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday