IEA sees pick-up in global oil demand

Coal will nearly overtake oil as the dominant energy source by 2017, and only a drop in world gas prices could curb the use of the dirtier fossil fuel in the absence of high carbon prices, the International Energy Agency said. The IEA, the energy agency for developed countries, said earlier this year that without a major shift away from coal, average global temperatures could rise by 6 degrees Celsius by 2050, leading to devastating climate change.

The U.S. shale boom will send “shockwaves” through the global oil trade over the next five years, benefiting the nation’s refiners and displacing OPEC as the driver of supply growth, the IEA said.

Oil prices rose about 5 percent last week to finish only a dollar short of regaining triple-digit status. Since dipping below $80 per barrel on October 3, West Texas Intermediate (WTI) prices have increased almost 28 percent. This increase is nearly twice that of the S&P 500 Index, up 15 percent since October 3, but reinforces a recent trend for oil prices—as equities go, so goes oil. This chart put together by the U.S. Energy Information Administration (EIA), illustrates how WTI crude oil prices and equities have moved nearly in tandem over the past few months.

The paragraphs below come courtesy of Mark Mobius, emerging markets guru and executive chairman of Templeton Asset Management.

The world’s top oil forecasters this week all cut their 2013 oil demand forecasts due to subdued economic growth, with the figures showing increasing similarity in the views of producers and consumers. The International Energy Agency (IEA) on Thursday trimmed its global oil demand growth estimate, which followed similar moves by the U.S. Energy Information Administration (EIA) and the Organization of the Petroleum Exporting Countries (OPEC).

Soaring U.S. oil production should be enough to allow consumers withstand most potential supply shocks, the International Energy Agency (IEA) said on Wednesday, as it cut estimates for global oil demand. “The oil-producing world today is in the midst of a onceinageneration transition of farreaching consequences,” the IEA, which coordinates the energy policies of major consuming nations, said in its monthly oil market report.

In October, the International Monetary Fund painted a gloomier picture for global investors, as it projected slower growth due to slumping world trade and uncertainty in the West. Despite the forecast, big gains can still be unlocked in the faster-growing emerging markets. We believe the smaller stocks are holding the key.

Despite what your mom said, you don’t matter that much. In fact, with each passing day, you, me and the rest of the developed-world-dwellers are losing our clout. Today I’ll prove it to you with a few newfound energy statistics – plus, we’ll discuss what you can do about it. As I type, the developing world is gobbling up market share for the world’s resources – oil, natural gas, coal, you name it. It’s the same story, really, but it’s coming true in front of our eyes.