Oil prices mixed after IEA slashes demand outlook for 2014, 2015August 13, 2014 - 14:33 AMT PanARMENIAN.Net - Oil prices were mixed in Asia Wednesday, Aug 13, after the International Energy Agency slashed its demand outlook for 2014 and 2015 while reporting a glut in global supplies despite conflicts in Iraq and Ukraine. U.S. benchmark West Texas Intermediate for September rose four cents to $97.41 in afternoon Asian trade, after declining 71 cents in New York. Brent crude for September delivery was down 31 cents at $102.71. It fell $1.66 to finish at $103.02 in London on Tuesday, its lowest closing point since July 1, 2013. Cutting its demand outlook for this year and next, the IEA on Wednesday said "the oil market today looks better supplied than expected". The agency, the oil policy arm of the Organisation for Economic Cooperation and Development, projected 2014 oil demand would rise by 1.0 million barrels a day to 92.7 mbd, compared to its July forecast for growth of 1.2 mbd. It cut its 2015 demand forecast to 94 million barrels a day -- 300,000 barrels less than the previous prediction. "The sharp declines in oil prices is mainly due to the IEA report, with an unwinding of risk premiums associated with conflicts in Iraq and Ukraine," AFP quoted Ric Spooner, chief market analyst at CMC Markets in Sydney, as saying. "There is an understanding in the market now that there is a significant supply buffer in global markets in the case of a supply disruption," he said. Oil prices have seen a build in risk premium in recent months due to armed insurgencies in crude producer Iraq as well as Ukraine, a key conduit for Russian energy exports to Europe. Spooner said investors will next be scrutinising the latest U.S. stockpiles report to be released later Wednesday for clues about demand in the world's top crude consumer. Related links: Top stories Yerevan has dismissed Turkey’s demand to shut down the Armenian nuclear power plant as “inappropriate”. Armenia will loan 2.9 billion drams to Nagorno Karabakh (Artsakh), according to a draft government decision. The Ministry of Ecology and Natural Resources of Azerbaijan has “strongly condemned” Armenia’s decision. Kerobyan has said that for the first time in the history of Armenia, the volume of foreign direct investments amounted to about $1 billion. Partner news | Scholz hopes Armenia-Azerbaijan peace treaty will be signed this year German Chancellor Olaf Scholz hopes that a peace treaty between Armenia and Azerbaijan will be signed this year. Ucom equips four bus stops in Ijevan with free Wi-Fi Ucom now provides free Wi-Fi coverage in smart bus stops in four communities of Ijevan. Armenians stage more campaigns against territorial concessions to Azerbaijan Protesters blocked more roads across Armenia on Friday, April 26 in continuing attempts to scuttle territorial concessions to Azerbaijan. Czech-Armenian military cooperation discussed in Yerevan A delegation led by the Director General for the Industrial Cooperation Division of the Ministry of Defence of the Czech Republic visited Armenia. |