Global oil demand in 2014 will be higher than previously forecast, after consumption in the U.S. rebounded to its strongest level in five years, the International Energy Agency said. The IEA forecast today in its monthly oil market report that demand will increase by 1.2 million barrels a day, or 1.3 percent, to 92.4 million a day next year, raising its projection from last month by 240,000 a day. U.S. fuel use rose above 20 million barrels a day in November for the first time since 2008, according to preliminary data. While the agency boosted estimates for the amount of crude OPEC will need to supply, “making room” for the potential return of Iranian exports “could be a challenge for other producers” in the group, it said. “The geopoliticals are now bearish, while the fundamentals are bullish,” Michael Lynch , president of Strategic Energy & Economic Research in Winchester, […]

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