IEA cuts demand forecast for OPEC crude oil by 300,000 bpd in 2019


In its latest monthly oil market report published on Wednesday, the International Energy Agency (IEA) slashed the demand forecasts for the OPEC crude oil for 2019.

Key Highlights:

Rising stocks should be welcomed as a form of insurance, rather than a threat.

Inventories in developed nations have increased for four straight months.

Set to jump to 2 mil bpd in the next half-year if current output is maintained.

Record output from Saudi, Russia, US more than offsets declines from Iran, Venezuela.

Leaves global oil demand growth forecast unchanged for 2018 and 2019 at 1.3 mln bpd and 1.4 mln bpd, respectively.

Raises non-OPEC oil output growth forecast to 2.4 mln bpd in 2018 and 1.9 mln bpd 2019, from the previous estimate of 2.2 mln bpd and 1.8 mln bpd, respectively.

Total US oil supply growing by 2.1 mln bpd this year and 1.3 mln bpd during 2019.

OPEC crude output rose 200,000 bpd in October to 32.99 mln bpd, up 240,000 bpd on a year ago.

Cuts forecast for demand for OPEC crude oil by 300,000 bpd to 31.3 mln bpd in 2019, 1.7 mln bpd below current output.

OECD commercial oil stocks rose by 12.1 mln barrels in September to 2.875 bln barrels.

OECD oil inventories rose 58.1 mln barrels, or 630,000 bpd, in q3, biggest rise since 2015.

Sees global implied oil stock build of 2 mln bpd in h1 2019, based on non-OPEC output, global demand.

Shipments of Iranian oil in October were 1.8 mln bpd, down 900,000 bpd vs. May, still unclear how far exports will fall.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

FXStreet Trading Signals now available!

Access to real-time signals, community and guidance now!

Latest Forex News


Latest Forex News

Editors’ Picks

GBP/USD: Bears eye 1.25 as disappointing UK GDP knocks off yields

GBP/USD extends losses towards 1.2500, as the UK GDP disappointment weighs negatively on the 2-year Gilt yields. Broad US dollar strength amid risk-off mood also adds to the bearish pressure on the cable. 

GBP/USD News

EUR/USD holds steady below 1.1350 amid risk-aversion

EUR/USD holds steady below 1.1350, as US dollar trades firmer amid broad risk-aversion. The German ZEW Survey to show signs of an economic turnaround. Heightened expectations for an EU fiscal stimulus plan underpin the shared currency. 

EUR/USD News

Gold: $1796 is the level to beat for the XAU bears

Gold is trying hard to recover ground above the $1800 mark, as the US dollar continues to benefit from broad risk-aversion amid looming coronavirus risks. Let’s see how it is positioned ahead of the critical US CPI release.

Gold News

Forex Today: US dollar seizes control as risk aversion returns, a busy docket ahead

Broad US dollar strength extended into Asia, as risk-averse market conditions persisted amid intensifying coronavirus fears and US-China tensions. The Asian equities followed the late sell-off on Wall Street while the US stock futures struggled with its recovery.

Read more

WTI recovers from intraday low under $40.00 ahead of API inventories

WTI’s pullback from $39.30 fails to defy a two-day losing streak. China’s sustained increase in oil imports confronts chatter of easing output cuts. US inflation data, API stockpiles and American earnings are in the spotlight.

Oil News

Forex MAJORS

Cryptocurrencies

Signatures