Average daily oil demand is expected to reach a record 102.2 million barrels per day next year. This is according to the latest estimate by the US Energy Information Administration EIA.
Oil price rises again
The price of oil has started to rise again after several days of decline. While a week ago a barrel of Brent crude was often trading below $78, on Tuesday its price climbed above $81. One of the main reasons is the current estimate of oil consumption for 2024.
According to the EIA, global demand for black gold will rise to a record 102.2 million barrels per day next year. The main drivers of global demand will be India and China, whose economic activity is expected to grow significantly next year. The economic recovery in Europe and the USA will also be partly reflected here.
Oil demand will also grow this year
China’s oil demand is expected to grow this year, but the markets have already “priced it in” and therefore oil is not becoming significantly more expensive. On the other hand, global oil demand will be dampened this year by the forecast decline in the economies of Europe and the US, which are expected to go through a more or less deep recession.