Oil is headed for its biggest weekly gain in three as simmering Middle East tensions, shrinking U.S. crude inventories and Tropical Storm Barry in the Gulf of Mexico threaten the supply outlook.
Despite the developments and recent rollover of an OPEC-led output cut, the IEA is forecasting another glut in 2020.
"This surplus adds to the huge stock builds seen in the second half of 2018," the agency declared, adding that "market tightness is not an issue for the time being" but predicted growth of 1.4M barrels per day next year (from 1.2M bpd in 2019).
Crude futures +0.7% to $60.64/bbl.
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