Natural Gas and Oil Analysis: IEA Cuts 2024 Demand to 1.22m bpd, USOIL Drops to $76 - FX Empire
Natural Gas and Oil Analysis: IEA Cuts 2024 Demand to 1.22m bpd, USOIL Drops to $76
By: Arslan Ali
Updated: Feb 15, 2024, 13:05 UTC•4min read
IEA’s forecast cut to 1.22m bpd dims oil demand outlook, with USOIL dipping to $76 signaling market shifts.
Mentioned in Article
Natural Gas
$1.705
+1.61%
WTI Oil
$76.472
-0.06%
Brent Oil
$81.536
-0.08%
Key Insights
- EA revises 2024 oil demand growth to 1.22 million bpd, Brent and WTI fall to near $80 and $76.
- U.S. crude inventories jump 12 million barrels, pushing USOIL below pivot point at $76.40.
- Natural Gas trades bullish at $1.6650, up 1.28%, with resistance at $1.7982 and support at $1.5002.
Oil Market Trends: IEA’s Diminished Demand Forecast and Surging US Inventories
Oil prices dipped slightly as the International Energy Agency (IEA) indicated slowing demand growth for 2024, adjusting its forecast down to 1.22 million barrels per day (bpd) from 1.24 million bpd. This, coupled with an unexpected surge in U.S. crude inventories, pressured oil benchmarks.
Brent crude and U.S. West Texas Intermediate crude futures fell near $80 and $76, respectively. The IEA also revised its supply growth forecast upwards to 1.7 million bpd.
The increase in U.S. inventories, attributed to reduced refinery activity and subdued demand, alongside economic recessions in Britain and Japan, signals a bearish outlook for USOIL, UKOIL, and potentially impacts Natural Gas as market dynamics shift.
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