The global oil production picture is still highly fluid, particularly with promises for a cut to OPEC production while some OPEC members (Nigeria, Libya, Iran) could actually ramp up output. But while output figures are more difficult to pin down, data on inventories is much clearer – and it still doesn’t look good for oil bulls.
As for crude oil inventories, they remain at extraordinary heights, despite having come down more recently. In the U.S., refineries are well into maintenance season, leading to a drop off in demand in September. Crude stocks are declining, but still remain high.
