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EIA: near-term forecast sees better supply-demand balance

08/18/2008
Underlying world oil market fundamentals point to a better supply-demand balance with lower prices in the near term, the US Energy Information Administration said in its latest short-term energy outlook.But EIA also reduced its 2008 outlook for supply growth outside the Organization of Petroleum Exporting Countries and warned that “any weakness in oil prices could be minimal and short-lived” if demand grows more than expected or supplies are interrupted.EIA said a combination of slower US and global demand growth, increased OPEC production capacity beginning in the third quarter and continuing through 2009, and higher supplies outside OPEC “raises the prospect for a drop...
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