IEA Sees Smaller Global Oil Surplus as India Drives Demand Gains
- Agency also boosts 2016 demand estimates for China, Russia
- Price gains seen limited by `brimming' crude inventories
Oil Production and the Fundamentals of Supply and Demand
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The global oil surplus in the first half of this year will probably be smaller than previously estimated because of robust demand in India and other emerging nations, the International Energy Agency said.
Supply will exceed demand by an average of 1.3 million barrels a day in the first six months of 2016, down from the 1.5 million projected a month ago, following surprisingly strong consumption in the first quarter, the Paris-based adviser said in a report. Still, further gains in oil prices “are likely to be limited by brimming crude and products stocks,” it predicted.