The International Energy Agency (IEA) has released its oil market report for March, and if anyone is still looking for a reason for higher crude and gasoline prices, the answer should be pretty clear from this month’s report. The IEA estimates global demand to reach 89.9 million barrels/day in 2012, up 800,000 barrels/day (0.9%) from the 2011 total.
Global supply from non-OPEC countries is 53.5 million barrels/day and OPEC is producing 31.42 million barrels/day, the cartel’s highest production level since 2008. Saudi Arabia, for example, is producing more oil now than it has at any time in the past 30 years. Total global supply, then, is 84.92 million barrels/day.
That shortfall of 5 million barrels/day. Some of that is made up in natural gas liquids and refinery gains, but the simple reading remains true: demand outstrips supply.
Highlights of the IEA March report are available here.
Sponsored: Want to Retire Early? Here’s a Great First Step
Want retirement to come a few years earlier than you’d planned? Orare you ready to retire now, but want an extra set of eyes on your finances?
Now you can speak with up to 3 financial experts in your area for FREE. By simply clicking here you can begin to match with financial professionals who can help you build your plan to retire early. And the best part? The first conversation with them is free.
Click here to match with up to 3 financial pros who would be excited to help you make financial decisions.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Editors' Picks
