What does OPEC and the International Energy Agency have in common? Well usually not too much but there are exceptions.
OPEC represents the interests of oil producers whose club pumps about 40 percent of the of the global oil supply and the International Energy Agency (IEA) which acts as energy policy advisor to 28 oil consuming nations rarely see eye to eye to eye on many of the big energy issues of the day. Yet it seems in this era of economic stress even this odd couple may share some of the same ideas on energy without driving the other one crazy.
Well for one thing they both generally believe that the demand for oil is getting better. The IEA was the latest agency to upwardly revise its forecast for global oil demand predicting a consumption average rate of 86.2 million barrels a day up 140,000 barrels from their October report. That was the day after OPEC predicted a demand increase to 85.07 million barrels a day 50,000 barrels a day higher than their last report. Usually the IEA likes to estimate demand on the high side and OPEC on the low side yet a demand increase. Yet it is not just increasing demand that they agree on. They agree that the increasing price of crude may be a threat to the economic recovery.....Read the entire article.
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