Market balance delayed, International Energy Agency says

15 Jun 2017   IEA

Market balance might be facing headwinds given strong production trends and high levels of oil in storage, the International Energy Agency said. File photo tlegend/Shutterstock. June 14 (UPI) — Pressure from U.S. oil production and some OPEC members mean market balancing is stalled, the International Energy Agency reported Thursday. Parties to an agreement led by the Organization of Petroleum Exporting Countries to balance the market through managed production declines decided to extend the arrangement by three months into early 2018. That led to a downturn in crude oil prices as many market watchers were anticipating deeper cuts. In its monthly market report for June, OPEC economists said Wednesday that the market was balancing in response to the production arrangement, but at a slower pace than expected. The International Energy Agency mirrored OPEC’s sentiments in its own monthly report , saying stronger U.S. crude oil production, which could increase faster […]

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