Saudi Energy Minister, Khalid al-Falih, throws caution out the window and predicts that demand for oil and gas this year, could turn out to be “way in excess” of 2017’s exuberant levels. Demand has played a significant part in oil price recovery in early 2018 where it hit a three-year high.
With the ever-increasing consumption of oil, we wondered where the demand is coming from.
“Global synchronized economic growth — across developed and emerging markets — is driving a notable uptick in manufacturing and trade, boosting construction and freight movements which look to be behind renewed growth in diesel demand, after several years in the doldrums,” said Eric Lee, an analyst at Citigroup Inc.
The oil market, and shall we say the glut that OPEC has tried to curb, are seeing signs of rebalancing and it seems that global demand is giving it the final push to rebalance.
To read the full article titled, “Planes, Trains and Trucks: Global Trade Boom Fires Up Oil Demand,” click here.