Oil Demand Rises in 2009

2009 has seen greater demand for oil than previously expected according to reports by the International Energy Agency after their recent monthly report showed that oil consumption would hover around 83.3 million barrels per day.   This news comes after conservative estimates expected a drop of 3%.  These reports detail that rate has fallen to 2.9% providing some evidence towards the fact that the global recession may in fact be over.

Whilst the IEA are typically not attributing the greater demand to the start of the global recovery, they suggested that this rise in demand could just be a sign that the recession has finally bottomed out.  This report came at a time which saw oil prices rise to over $72 a barrel which beats previous highs for an eight month period, which has seen the price of oil double and fluctuate rapidly.

The current prices of oil have hit many businesses and organizations after oil dropped to a stunning $32 a barrel back in December, after the previous all-time high figure of $147 was observed last July.  These prices are beating us treasury predictions and serve as an indicator that the economy may soon start to recover.  This is good news for industry worldwide which saw consumption drop by over 420,000 barrels a day in 2008.

The global oil industry is responsible for around 1.2 billion barrels of oil and with consumption now increasing, things are looking up for the troubled oil industry according to recent economic reports which have shown that prices of oil are slowly returning to normal after experiencing the major fluctuations of 2008 followed by the financial crisis.  Whatever lies in store for the future still remains uncertain, but this latest news is thankfully, at least somewhat positive and optimistic for the still troubled future of the world economy.

No related news.