WTI crude all future settle at $91.48. That’s up $0.71 or 0.78% on the day.
- Prices initially rose due to a softer Dollar and stock recovery.
- Bullish themes include Saudi/Russia production cuts and a recovering Chinese economy.
Saudi Aramco CEO commented at the World Petroleum Congress saying.
- Forecasts of peak oil demand are “wilting under scrutiny”.
- He predicts world oil demand to rise to 103-104mln BPD in H2.
- Meanwhile:
- Chevron (CVX) CEO expects oil prices to reach USD 100/bbl.
- He also sees a steady increase in oil demand.
Adam points out that:
- US drilling productivity is on the rise, but fewer rigs impact shale oil regions.
- EIA predicts a production of 9.39 million bpd in October, a decrease of 41k bpd.
- Declines are nearly equal between Permian and Eagle Ford regions.