According to the IEA, the oil market will strike a new balance towards the end of 2016, without taking into consideration increased output from Iran.
On the demand side, prices are being affected by a number of factors: the structure of car sales in the US has changed, with an upswing in SUV purchases that could exert upward pressure on prices; furthermore, the latest projections suggest a gradual recovery by the world economy.
On the supply side, inventory levels remain high. Drops in the number of active platforms in the US and decreased output have put pressure on prices.
It is important to understand how all these factors, together with others, will shape the outlook for oil and gas worldwide.