Thursday, 4 August 2011 at 13:05, Reuters, London
Barclays Capital sees global oil demand increasing by 1.1 million barrels per day in 2011 to 88.68 million bpd. (AFP)
Barclays Capital has cut its estimates of world oil demand growth for this year and 2012 to reflect a slower expansion of the global economy, and particularly a slowdown in the United States.
The investment bank, which has been one of the most bullish forecasters of oil prices this year, now sees global oil demand increasing by 1.1 million barrels per day (bpd) this year to 88.68 million bpd.
It previously forecast a rise in oil demand this year of 1.56 million bpd and two months ago expected the increase to be as much as 1.7 million.
Barclays Capital has also trimmed its forecast for oil demand growth next year, expecting an increase of 1.34 million bpd in 2012, compared with its previous forecast of 1.4 million bpd.
"Given the general state of the macro-economy, the state of oil demand does not seem particularly healthy," Barclays Capital oil analyst Amrita Sen said.
"Moreover, US GDP is 2 percent lower than what everyone expected or knew of due to the revisions issued last week and our economists have reduced a cumulative 1.8 per cent of US growth over this year and next. Hence the revision."
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