Oil analysts have grown more pessimistic over the prospects for a significant pr...
BENGALURU - Oil analysts have grown more pessimistic over the prospects for a significant price rally this year, as booming U.S. shale output and a deteriorating global economic backdrop threaten to offset the boost from OPEC’s crude supply cuts.
“Over the rest of 2019, though, the rising oil price sits incongruously with slowing economic growth in major markets.” A monitoring committee for the OPEC and non-OPEC oil supply reduction deal found compliance with the cuts at 83 percent in January, delegates from the group told Reuters on Feb. 20. This was broadly in line with the 1.1-1.7 mbpd range in last month’s survey and compares with the International Energy Agency’s forecast of 1.4 mbpd in demand growth this year. [IEA/M]
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