KEY TAKEAWAYS
- The International Energy Agency on Wednesday lowered its projection for 2025 oil demand growth though the organization said it would exceed last year’s.
- The Paris-based agency said it expects global oil demand to grow by 1.05 million barrels per day versus the 1.1 million B/D it forecast last month.
- Brent crude futures are flat at $80.01 a barrel Wednesday.
The International Energy Agency on Wednesday lowered its projection for 2025 oil demand growth though the organization said levels would exceed last year’s.
The Paris-based agency said it expects global oil demand to grow by 1.05 million barrels per day versus the 1.1 million B/D it forecast last month.
Still, the 2025 projection is above the 940,000 B/D global oil demand growth last year, an increase the IEA attributed to a marginal improvement in outlook for the economy for 2025.
Global oil demand during the fourth quarter also surged, as “lower fuel prices, colder weather across the Northern Hemisphere and abundant petrochemical feedstocks all combined to boost consumption,” the IEA said.
Oil Prices Have Been Gaining Since US Imposed Russian-Targeted Sanctions
Oil prices have been rising since the Treasury Department last week imposed sanctions on the Russian oil industry.
“Oil prices surged past $80 [per barrel] in early January, propelled by tighter sanctions on Russian and Iranian oil and the North American cold snap,” the IEA said.
Brent crude futures are flat at $80.01 a barrel Wednesday, while West Texas Intermediate futures are up 0.2% at $77.62.
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