OGJ NEWSLETTER

Refiners' fears that OPEC's productive capacity will be under pressure this winter have given oil prices an October boost. Stockbuilding by refiners pushed Brent to $22/bbl from its end September price of $20.75/bbl. Traders expect prices to go even higher by yearend. OPEC production now is 23.6 million b/d, and demand could jump another 300,000-400,000 b/d in November-December. Traders feel the added volumes will stretch exporters to their limits.