The Organization of Petroleum Exporting Countries (OPEC) released its September Oil Market Report Monday morning, and the cartel raised its forecast of 2015 global demand growth by another 84,000 barrels a day to 1.46 million barrels a day. Total demand in 2015 is now pegged at 92.79 million barrels a day, up from the prior forecast of 92.7 million barrels a day.
Total non-OPEC supply is now forecast to average 57.43 million barrels a day in 2015, up 880,000 barrels a day, a slightly lower total than the 960,000 barrels a day in the July forecast. U.S. product is forecast to grow from an estimated total of 13.86 million barrels a day (including natural gas liquids, or NGLs, and other liquids) this year to an average of 14.19 million barrels a day in 2016.
Total OPEC crude oil production in August averaged 31.54 million barrels a day, up 13,000 from July’s total. That is the highest monthly total so far in 2015 and well above the annual averages for 2013 and 2014. The total is based on non-OPEC estimates.
The cartel also reported that the average price of a barrel of oil from its reference basket fell by a whopping 16.1% per barrel, from $54.19 U.S. in July to $45.46 U.S. OPEC also noted that speculators cut net long positions in the futures market to record lows in August.
