echang

As Global Demand Rises, Oil Production Remains Flat

typo-- saudi arabia produces 9.7 mbd, or will if the 200k increase goes into effect this year.

i have yet to read anything or see anything about the increase or decrease in chinese/or indian gas consumption (i hope to have a better idea by the end of the summer), but i do believe the high crude prices have finally begun to destroy demand in the United States. Perhaps its the economic problems but people are beginning to cringe at the mention of high gas prices. I think four a gallon is the tipping point for the American consumer, especially if 9/10 of them think we are in a recession. Gas consumption dropped 1.8% last month, and I heard it fell 3% this month (have not come across this figure in writing). Chinese, Indian and other growing economies may very well offset declining gas consumption here. But there is the chance that their roaring economies slow down. Perhaps its the Chinese economy that crashes after the Olympics and not the stock market; crash might be too strong of a word.