OPEC sticks to oil-demand view

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Subscribe to enjoy similar stories. OPEC’s overall forecast remains significantly more optimistic than others in the industry. The Organization of the Petroleum Exporting Countries stuck to its oil demand forecast for this year after a series of cuts and projected broadly stable growth into 2026.

The Vienna-based cartel still expects demand to grow by 1.45 million barrels a day this year and forecast growth of 1.43 million barrels a day the next, driven by transportation fuels. The group’s overall forecast remains significantly more optimistic than others in the industry, with the International Energy Agency estimating this year’s growth at 1.05 million barrels a day. Total world demand is estimated to reach around 105.2 million and 106.6 million barrels a day on average in the periods.

The cartel still forecasts Chinese demand to grow by 310,000 barrels a day this year after consumption picked up in November, and said the positive impact of government stimulus is expected to continue in the first quarter. Demand will be supported by petrochemical feedstock and transportation fuels, OPEC said. Brent crude, the international oil benchmark, traded around $80 a barrel, while the U.S.

oil gauge West Texas Intermediate was around $76 a barrel in midday trade on Wednesday. Both benchmarks eased slightly after soaring to multi-month highs earlier this week, as the latest round of U.S. sanctions against Russia raised concerns over supply disruptions.

Crude has had a strong start to the year, boosted by colder weather and falling U.S. stockpiles, as well as expectations that the U.S. will tighten its grip on Iran in the coming months.