Business News
OPEC raises oil demand forecast for current year
Aug 13, 2010, 11:38 GMT
Vienna - Global demand for oil is to rise by 1.05 million barrels per day (bpd) this year, the Organization of the Petroleum Exporting Countries (OPEC) said Friday as it raised its forecast.
But the group warned that the current stock overhang would continue, as supply has been growing faster than expected and demand growth remains weak.
Next year's demand was forecast to grow by 1.05 million bpd to 86.56 million bpd, unchanged from the previous market outlook. (One barrel equals 159 litres.)
OPEC experts calculated this year's demand at 85.5 million bpd.
The upward revision by 100,000 bpd for 2010 was based mainly on more optimistic assumptions for Western Europe, where the decline in consumption is anticipated to be less pronounced than forecast in the previous projection.
On the supply side, the group said its basket price had decreased in July, as Middle Eastern crude prices fell amid ample production.
Seven of the 11 OPEC members bound by a quota system increased their output that month. By pumping 26.86 million bpd, they strayed further from their agreed-upon production ceiling.
Algeria, Angola, Ecuador and Iran lowered their output. The 12th member Iraq, which is not bound by a quota, also pumped less.
COMMENT
blog comments powered by DisqusLatest Headlines in Business
- 1. US unemployment drops further, but figures disappoint
- 2. Japan stocks down as euro debt outweighs positive US data
- 3. Iraq resumes oil flow after pipeline blast in Turkey
- 4. Spanish bond auction lifts eurozone worries, sinks Japan stocks
- 5. ECB holds rates, rules out early exit from emergency measures
Older Talkback
