IEA Expects Crude Demand to Increase in 2023
December 14, 2022
The API had crude oil stocks up 7.8 million barrels, gasoline stocks up 900,000 barrels and distillates up 3.4 million barrels.
The average estimates for the DOE inventory report today from the Bloomberg survey are calling crude stocks down 3.544 million gasoline up 2.964 and distillates up 2.639.
The average estimate for today’s propane inventory update is for supplies to be down 592,000 barrels.
Prices are still rallying as forecast from the IEA and OPEC are calling for an increase to demand in 2023. Supporting the rally is the idea that the Fed will ease its rate hikes as consumer prices rose less than expected for the second month in November.
The IEA said that crude demand will increase by 1.7 million bpd next year to 101.6 million bpd. The IEA also said that Russia’s production in the first quarter of 2023 will fall by 14%.