The International Energy Agency (IEA) has forecast for this years demand in world oil to contract by less than previously expected.
The agency claimed that its forecast was due to a stronger-than-expected demand at the beginning of the year in developed countries.
Global demand for oil is expected to fall by 2.47 million bpd in 2009 to 83.3 million bpd. The IEA's previous forecast was for demand to contract by 2.56 million bpd.
The IEAs monthly Oil Market Report claimed that its revisions do not necessarily imply the beginnings of a global economic recovery, and may only signal the bottoming out of the recession.
While oil stocks both on land and in floating storage remain abnormally high, the IEA said inventories were lower expressed as days of forward demand.
The increase in the estimate for 2009 is the IEA's first since August 2008. The agency advices 28 industrialised countries.