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China Remains Major Growth Driver for Oil Demand

Commodities continued to climb modestly higher in European session as China’s pledge to assist the EU lifted optimism. The front-month contract for WTI crude oil price rose for a 3rd consecutive day with price approaching 90. China’s National Development and Reform Commission (NDRC) said the country’s consumption for oil products increased +15% y/y to 20.07M metric tons, or 4.91M bpd, in November while demand grew +11% to 210M metric tons, 1539.95 mmb, in the first 11 months of 2010. Meanwhile, the commission said that diesel’s shortage is easing gradually while stockpiles are rising.

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China Remains Major Growth Driver for Oil Demand

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