Crude futures up on rise in IEA 2014 global oil demand forecast

21 January 2014 11:13 Source:ICIS News

LONDON (ICIS)--Crude prices gained more than $1.00/bbl on Tuesday to take Brent crude on ICE Futures above $107/bbl as the International Energy Administration (IEA) revised up its 2014 global oil demand growth forecast.

By 10.30 GMT, March Brent crude had hit a high of $107.49/bbl, a gain of $1.14/bbl from the previous day’s close of $106.35/bbl, before easing back to around $107.47/bbl.

At the same time, February NYMEX light sweet crude futures were trading around $94.50/bbl, a gain of 13 cents/bbl from the previous close of $94.37/bbl.

The IEA estimates accelerating global economic growth would generate more demand for oil this year, pushing up world oil consumption by 1.3m barrels per day (bpd).

Meanwhile, the energy watchdog said total OECD commercial oil inventories have plummeted by 53.6m barrels in November, the steepest monthly decline since December 2011.

Preliminary data for December points to a further 42.5m barrels draw in OECD inventories.

By Cuckoo James