IANS | 17 Sep, 2023
Crude oil prices were set for a third week of increases on Friday,
lifted by the growing imbalance between demand and supply, and by
China’s latest industrial output report, which showed
faster-than-expected growth in August.
Brent
crude was trading above $94 per barrel at the time of writing while
West Texas Intermediate flirted with the $91 per barrel mark, Oil Price
reported.
Bullish sentiment only increased on the news that Chinese refiners broke refining rate records in August.
They
processed an average daily of 15.23 million barrels, which was 19.6 per
cent higher than a year ago, official statistical data showed, Oil
Price reported.
The main reason for the price jump, however, remains the production cut coordinated by Saudi Arabia and Russia.
The
International Energy Agency in its latest monthly report warned that
cuts would tip the oil market into a deeper imbalance in the fourth
quarter.
At
the same time, the International Energy Agency (IEA) forecasted peak
oil demand before 2030, which prompted an immediate reaction from OPEC.
Consistent
data-based forecasts show that peak oil and other fossil fuel demand
will not happen before 2030, as the IEA claimed earlier this week, OPEC
said on Thursday, dismissing the claims of the “beginning of the end of
fossil fuels”, Oil Price reported.
Indeed,
warnings about peak oil demand have been numerous in recent years, all
based on EV penetration rates that have so far failed to materialise.
Instead, global oil demand has continued to rise, hitting a record this
year, per the IEA itself. And oil trade is getting more popular, too.
