OPEC sees weaker demand for its crude next year as rivals surge

OPEC is under intense pressure right now from consumers to ease prices by pumping more crude, but for 2019 it sees a more doubtful picture.

The cartel cut its estimate for global demand for its crude next year due to weakening economic growth and higher output from rivals, notably U.S. shale drillers. The world will need almost 900,000 fewer barrels from the group each day in 2019 — equivalent to Libya’s average output this year.

The weaker outlook comes as pressure is increasing on the Organization of Petroleum Exporting Countries and its allies to pump more to offset the impact of looming U.S. sanctions on Iran and Venezuela’s collapsing oil industry. In addition to tweets from President Donald Trump demanding action, OPEC Secretary-General Mohammad Barkindo said on Thursday that India has written to the group expressing its discomfort with the current market…

 

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