Latest news with #OilMarketReport
Yahoo
16-05-2025
- Business
- Yahoo
Oil Set For Weekly Gain on China Trade Deal Hope
Crude oil prices were set for a weekly gain after a string of losses on the news of a trade war ceasefire between the U.S. and China, which sparked hopes the two would come to a mutually beneficial understanding that would end the tariff spat. At the time of writing, Brent crude was trading at $64.64 per barrel and West Texas Intermediate was changing hands for $61.72 per barrel, both up, albeit moderately, from the start of the week. According to Reuters, the weekly gain will be about 1%. The modesty of the weekly gain is likely related to a couple of solid bearish new developments on the geopolitical and the forecasting fronts. On the geopolitical front, reports emerged suggesting the U.S. and Iran were closer to a new nuclear deal than they had been for months. On the forecasting front, the International Energy Agency once again injected pessimism into oil markets predicting slower than previously expected oil demand growth—despite the anticipated end to the U.S.-Chinese trade war. Economic headwinds and record electric vehicle sales are set to materially slow down global oil demand growth for the rest of the year, the IEA said on Thursday. World oil demand rose by 990,000 barrels per day in the first quarter of 2025. But the remainder of the year will see demand growth at just 650,000 bpd, the agency said in its closely-watched monthly Oil Market Report for May. The IEA has over the past few years built a reputation for pessimistic forecasts when it comes to oil demand—only to revise them when data from the physical market points in a different direction. In this case, we've seen a rebound in Chinese oil imports at the start of the second quarter of the year and a surge in Indian oil imports, which lifted them to an all-time high in March. In related recent news, Japanese refiners were scaling back their transition plans to refocus on oil. By Irina Slav for More Top Reads From this article on
Yahoo
13-02-2025
- Business
- Yahoo
China's Plateauing Fuel Use Is Without Precedent, IEA Says
(Bloomberg) -- A slowdown in the growth of China's fuel use is without precedent for a country at its stage of economic development, the International Energy Agency said. Why American Mobility Ground to a Halt Saudi Arabia's Neom Signs $5 Billion Deal for AI Data Center SpaceX Bid to Turn Texas Starbase Into City Is Set for Vote in May Cutting Arena Subsidies Can Help Cover Tax Cuts, Think Tank Says Rapid uptake of alternative transport, coupled with shifts in the Asian nation's economy, mean fuel use is close to plateauing and may already have done so. There's may be a small drop in fuel use this year, the Paris-based adviser said. 'For China's fuel growth trajectory to be leveling off at this early stage of development is without historical precedent,' the IEA said. 'This slide is likely to accelerate over the medium-term, which would be sufficient to generate a plateau in total China oil demand this decade.' China's use of the three most important fuel products - gasoline, jet/kerosene and gasoil - declined slightly to 8.1 million barrels a day in 2024, the IEA said in its monthly Oil Market Report. This is just below 2021 levels and narrowly above 2019 use. For 2025, the agency anticipates a modest gain of 210,000 barrels a day in China's oil demand but there are signs the country's fuel consumption 'may even have passed its peak.' A slump in the construction sector, historically a cornerstone of gasoil use, alongside persistently underwhelming consumer spending, which is closely associated with personal mobility and gasoline demand, has meant that recent economic gains appear to have been less oil intensive than in the past, according to the IEA. New electric vehicles currently account for half of car sales, undercutting around 250,000 to 300,000 barrels a day of demand growth in 2024. The wider use of compressed and liquefied natural gas in road freight displaced around 150,000 barrels a day, the report showed. Expansion in the provision of public transport, especially high-speed rail, has also contributed to the weakening in fuel use. These fuel substitutions have suppressed demand growth by around 1.2 million barrels a day since 2019 and will cancel out a further 400,000 barrels a day this year, mainly due to accelerating EV penetration, the IEA said. Elon Musk's DOGE Is a Force Americans Can't Afford to Ignore The Game Changer: How Ely Callaway Remade Golf How Oura's Smart Ring Bridged the Gap From Tech Bros to Normies Why Fast Food Could Be MAHA's Next Target Trump's Tariffs Make Currency Trading Cool Again After Years of Decline ©2025 Bloomberg L.P.
