Oil demand in the U.S. will continue to gain momentum this year, according to the International Energy Agency’s (IEA) monthly market report. Via Bloomberg, global demand will be higher this year than previously forecasted, driven by worldwide economic recovery and increased demand in developing nations. While the pace of demand growth in China has slowed, U.S. demand “continues to show signs of strengthening.”
IEA also noted that freezing weather in the U.S. severely depleted oil inventories among developed nations in January. The agency expects this to be partially offset by strong domestic production and an increase in supply from sources such as Canada and Brazil.
