Back
12 Dec 2014
Oil fell yesterday after IEA cut global demand forecast – Malcolm Graham-Wood
FXStreet (Barcelona) - Independent Analyst, Malcolm Graham-Wood notes that yesterday it was IEA which fuelled further downward pressure on oil price after it cut the global demand forecasts for the 4th time in past 5 months.
Key Quotes
“Yesterday it was the turn of the IEA to keep the downward pressure on the oil price by cutting its global demand forecast for the 4th time in five months. Their number is now for a rise of 900/- b/d, down 230/- from their previous forecast/guess. They now, like Opec have a call on the cartel of 28.9m b/d which may be optimistic.”
“Whilst I still believe that there is no obvious floor for the oil price at least in the short term, it will be interesting to see when forecasters decide that prices down here will stimulate demand.”
Key Quotes
“Yesterday it was the turn of the IEA to keep the downward pressure on the oil price by cutting its global demand forecast for the 4th time in five months. Their number is now for a rise of 900/- b/d, down 230/- from their previous forecast/guess. They now, like Opec have a call on the cartel of 28.9m b/d which may be optimistic.”
“Whilst I still believe that there is no obvious floor for the oil price at least in the short term, it will be interesting to see when forecasters decide that prices down here will stimulate demand.”