A relief from the oil price rebound could be on the horizon due to increased supply

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The International energy Agency (IEA) has announced this Tuesday that it leaves unchanged its forecast for oil demand growth at 5.5 million barrels per day (bpd) for 2021 and 3.4 million bpd in 2022, Reuters reported.

Featured statements

“The US oil production will not return to pre-covid rates until late 2022“.

“Current oil prices provide a strong incentive to boost US oil activity, even as traders adhere to capital discipline.”

“The United States accounts for 60% of 2022 non-OPEC + oil supply gains, now forecast at 1.9 million bpd.”

“Relief from the rebound in oil prices could be on the horizon due to increased supply.”

“The activity of oil refineries picks up after the maintenance of the autumn, the demand will strengthen with the reduction of the landfills.”

“The IEA predicts a further increase in global oil production of 1.5 million barrels per day in November and December.”

Market reaction

Crude prices largely ignored this report and a barrel of West Texas Intermediate is up 0.4% on the day at $ 81.24.

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