In its August Oil Market Report the International Energy Agency’s forecast shows stronger-than-anticipated global oil demand and non-OPEC supply growth swinging into contraction next year. A rebalancing has clearly begun, IEA said. However, the process is likely to be prolonged as a supply overhang is expected to persist through 2016—suggesting global inventories will pile up further, the agency noted. Demand IEA forecasts global oil demand to grow 1.6 million b/d in 2015, 300,000 b/d above last month’s report and averaging 94.2 million b/d, as economic growth solidifies and consumers response to lower oil prices . “This represents the biggest growth spurt in 5 years and a dramatic uptick on a demand increase of just [700,000] b/d in 2014,” IEA said. IEA’s latest 2016 forecast also rises 400,000 b/d to 95.6 million b/d—an above-trend 1.4 million b/d gain—on higher baseline numbers and expectations of a more robust economy. The second-quarter […]