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IEA cuts outlook for 2017 oil demand growth, sees second straight annual drop

Published 04/13/2017, 04:21 AM
© Reuters.  IEA cuts outlook for 2017 oil demand growth, sees second straight annual drop
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  • The International Energy Agency lowered its forecast for 2017 global oil demand growth to 1.3M bbl/day in its latest monthly market report, with growth expected to slow in 2017 for second year in a row.
  • The weakening demand picture is a challenge for OPEC's efforts to cut supply and raise prices by bringing an end to the glut that has weighed on the oil market for the last three years.
  • OPEC’s oil production fell by 365K bbl/day in March, bringing the cartel’s compliance to its supply commitments to 99% and likely smoothing talks as members begin to consider the prospect of extending the cuts.
  • Meanwhile, production in the U.S. rose to 9M bbl/day in March from a trough of 8.6M bbl/day last September, the IEA says.
  • ETFs: USO, OIL, UCO, SCO, BNO, DBO, DTO, USL, DNO, OLO, SZO, OLEM


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