The oil cycle: The wheels are turning again

The global oil market is a beast.

According to the International Energy Agency, demand for oil stands at about 85 million barrels per day. Driven by high demand growth, there is a fear of imminent shortage – that the world will begin to run out of oil.

Such a shortage could be amplified by the substantial and growing demand from the two Asian giants, China and India.

But there is a contrary view: Oil could actually rise faster than it falls over the next decade. Indeed, the wheels of the oil cycle are slowly turning again as the world moves toward a large, unprecedented buildup of oil supply in the years to come.
JakartaPost