Week of July 4, 2016
- IHS raised its estimates of 2016 global oil demand by about 0.2 mm bbl/day to 1.3 mm bbl/day due to growth in China, India and the U.S.
- IHS also sees supply outages in Canada, Nigeria and Libya blunting the impact of a faster-than-anticipated return of Iranian oil supply
- The high oil inventories seen over the past two years are falling but will still restrain upward price pressure for the foreseeable future
- Balancing these factors, the price forecast has been revised up by $2/bbl to $50/bbl in Q3 & Q4 2016 and by $5/bbl to $57/bbl in 2017