The EIA supply and demand "estimates" are out.
While I do not agree with many of the conclusions stated herein, I am posting this link to underscore just how important Asian demand numbers are and will be to this and future oil cycles. The demand from Asia is estimated to equal that of the US and Europe - COMBINED! It explains why I have continued to call attention to Asian economic growth numbers. Hopefully I have not bored too many people.
Who knows, maybe this agency "fianlly" has a handle on the magnitude of demand for hydrocarbons coming out of Asia, but I seriously doubt it. It's the revisions, stupid. <g> My bet is they underestimate yet again. BWDIK
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"We think that the continued strength of world oil demand relative to likely world production implies a somewhat stronger position for crude oil this year than many analysts and forecasters seem willing to support," the EIA said.
dowjones.wsj.com
Asian oil demand growth is expected to recover next year to more than 500,000 barrels a day after an increase of about 400,000 barrels a day in 1999 and a decline of more than 300,000 barrels a day in 1998.
In 2001, Asian oil demand is seen growing daily by 700,000 barrels. Meanwhile, demand is seen growing that year at 500,000 barrels a day in the U.S., 300,000 in Latin America and 200,000 in Europe. |
