IEA sees 'hefty' oil supply cushion building in 1H 2020
IEA comments in its latest report on the oil market
The agency says that it expects global oil markets to remain "calm" next year as soaring non-OPEC production and high inventories will keep consumers comfortably supplied.
Adding that non-OPEC supplies will increase by 2.3 mil bpd next year, almost twice the expansion in global oil demand. That is a 100k bpd upgrade from its estimate last month.
"The calmness is supported by a well-supplied market and high inventories. This may continue into 2020 because non-OPEC countries will grow their production significantly.
The hefty supply cushion that is likely to build up during the first half of next year will offer cold comfort to OPEC+ ministers gathering in Vienna at the start of next month.
However, a continuously well-supplied market will lend support to a fragile global economy."