Oil prices rebound on OPEC production cuts severely reduced global demand forecasts

19-Jan-09

Friday saw oil prices rebounding on concerns of OPEC production cuts on one hande, and release of data be the International Energy Agency's showing an unexpected sharp decline n global demand forecasts, on the other. New York's main contract, light sweet crude for delivery in February, rose by over one dollar to US$36.51l on the NYMEX. Brent North Sea crude for March delivery remained at US$46.57 on London's InterContinental Exchange. For 2008, the IEA put global oil demand at 85.8 mln bpd, down 0.3%. IEA has reduced its oil demand projection by for 2009 by 0.6% from revised 2008 figures - to one mln bpd to 85.3 mln bpd, representing a fall of 0.6 percent from revised 2008 figures.