2019 Global oil demand growth slowing to 1.41 Mln BPD
Spot WTI remains muted following the release of the latest OPEC monthly report. OPEC stated they see 2019 Global oil demand growth slowing to 1.41 Mln BPD, that's down 20,000 BPD they cite trade tensions as one of the major factors. They also see 2019 demand for its crude averaging 32.05Mln BPD, this is unchanged from previous estimates. One of the main comments from the cartel said 'OPEC says rising challenges in some emerging and developing economies are skewing the current global economic growth risk forecast to the downside'
Elsewhere, OECD oil Inventories rose in July and stood 43 million barrels below latest 5-year average, the level originally targeted by the supply cut deal and lastly OPEC, citing secondary sources, they say its August oil output rose 278,000 Bpd M/M to 32.56 Mln BPD. The output deal was used to contain a global supply glut in the market. Russia and Saudi Arabia had been instrumental in putting together an unpreceded deal and this caused the oil markets to rally from lows seen in early 2016.
WTI now sits flat for the session at $69.84/bbl after trading as high as $70.12/bbl. There are other threats to the market at present with Iran making loud noises about sanctions imposed by the US and weather issues which could have potential ramifications to supply over in America....