OPEC expects oil demand to remain strong through 2017, but downgraded its assessment because of the Brexit result. In its latest monthly Oil Market Report for July, OPEC sees oil demand rising this year and next, almost exclusively from non-OECD Asia. The OECD, which includes the U.S. and Europe, only posts a weak 0.10 million-barrel-per-day (mb/d) increase in demand next year under OPEC’s forecast. The other 1.1 mb/d comes from the non-OECD, mostly from Asia. Growing demand will help the oil market continue to move towards a balance, OPEC argues, while at the same time oil supply also steadily falls. Non-OPEC supply contracts through next year with output falling by an additional 0.11 mb/d in 2017, which comes on top of the 0.9 mb/d decline from non-OPEC countries this year. U.S. shale has borne the brunt of this adjustment – U.S. oil production could be down by as much […]