IEA Oil Market Report

[dan_s]

The International Energy Agency's monthly Oil Market Report will be available on Thursday, October 12 at this website: https://www.iea.org/oilmarketreport/omrpublic/

I am expecting it to confirm that the global oil market is tightening. I do think that their forecast of oil demand for both 2017 and 2018 are still too low, as the IEA has a long history of being too conservative on their demand estimates and gradually raising them as time passes. I don't expect their demand forecast to be raised in this months report.

I have seen reports that distillate inventories are too low in Europe. A lot vehicles run on diesel in Europe and a lot of homes burn oil for space heating.

[dan_s]

Analysts and traders were expecting the weekly data from the U.S. Energy Information Administration to show a decline in crude stockpiles for the week ended October 6. The EIA report is scheduled for release on Thursday.

The market was also waiting on President Trump’s decision on Thursday on whether or not to certify Iran’s compliance with the international nuclear deal. The Persian nation is an OPEC member and key Middle Eastern oil producer.