Crude oil price spikes to $83.25 a barrel amid global stock decline

The US Energy Information Administration this week raised its 2024 world oil demand growth forecast to 1.1m barrels a day

The forecasts imply limited downside for crude oil prices in the second half of the year.

Global oil prices rose more than 1.5% after three key forecasters predicted that global oil inventories would fall in the second half of 2024, while US inflation data solidified expectations for a US Federal Reserve interest rate cut by September.

Brent crude prices rose by $1.33, or about 1.6%, to $83.25 a barrel after prices had eased more than 2% last week.