EIA raises oil prices forecasts for 2016 & 2017

The US Energy Information Administration (EIA) raised its oil prices forecasts for 2016 and 2017 on Tuesday.

In its monthly energy outlook report, EIA forecast WTI prices at $43.07 a barrel for this year and $50.66 for next year, up 0.6% and 1.5%, respectively from last month estimations. Brent crude price is seen at $43.46 in 2016 and $51.66 in 2017, also up 0.4% and 1.5%, respectively from November’s report.

The  EIA also said they expect US crude oil production to average 8.9 million bpd in 2016, and 8.8 million bpd in 2017. The Agency also raised its forecast for 2017 world oil demand growth by 40k bpd and now see 1.56 mln bpd Y/Y increase.