US EIA cuts estimates for US crude oil output | Forexlive

Oil is struggling today on demand worries but supply will be the story next year.

The latest numbers from the EIA peg US output rising 500,000 barrels per day this year versus 540,000 bpd previously. That would put output at 11.75 mbpd.

For 2023 they now see production rising 610k bpd versus 840k bpd previously (and 1.05m in June). That’s a total of 270K bpd less in 2023 and I still think risks are to the downside.

On the demand side, they see 20k bpd more demand growth this year but cut 2023 demand growth by 490k. So much of the latter hinges on what China does with zero covid.

In any case, the oil market is down today with WTI crude oil down $3 to $86.51.