Global oil demand is rising steadily

With oil prices hovering around $103 a barrel, the market has found its sweet spot

Global oil demand continues to rise moderately – this year it will increase by about 800,000 barrels a day (b/d), believe both the International Energy Agency (IEA) and Opec. New production, especially in North America, keeps coming on line, leaving the supplies healthy. Commercial OECD stocks are within their historical range. Things are balanced. Opec can be content. Saudi Arabia, which has long seen $100/b oil as good deal for both producers and consumers, has little reason to mess with the status quo. The UAE’s new oil minister, Suhail Mohammad Al Mazroui, says the oil price is now “fair and suitable”. True, his counterpart from Venezuela, Rafael Ramirez, thinks Opec should be preparing