Brent crude rises above $ 44 a barrel after the IEA report

Brent crude turned higher during the European market on Thursday, after falling earlier in the Asian market trading, trading above $ 44 a barrel, on the way towards the first gain in three days, after the release of the monthly report of the International Energy Agency, which pointed to the improved oil markets during the second half of this year.

By the time 12:40 GMT, Brent crude rose to $ 44.10 a barrel from the opening level of $ 43.80 and recorded the highest level 44.25 dollars and the lowest level of $ 43.45.

Brent crude "October contracts" ended yesterday's trading lower by 2.6 percent, the second consecutive daily loss, due to higher oil production in Saudi Arabia last month to a high record again.

According to a monthly report released yesterday from the Organization of Petroleum Exporting Countries "OPEC" Saudi Arabia has pumped 10.67 million barrels a day in July, a new record level, in order to meet the high domestic demand in the summer months.

The IEA in its monthly report released on Thursday said that the oil market will improve during the second half of this year, but indicated the slow pace of improvement process in light of global demand growth decline and recovering oil supplies from outside OPEC.

Agency predicted a significant decrease in global oil inventories in the coming months, which will help ease the ongoing global supply glut since June 2014 due to accelerated production of countries inside and outside OPEC.

The agency expects to increase global production of the refineries by 2.2 million barrels a day to reach a record of 80.6 million barrels per day during the third quarter of this year, but this growth remains lower than expected in demand which will reduce some of the accumulated from last year's crude inventories.

International agency noted the decline in global demand from 1.4 million barrels growth during the current year to 1.2 million barrels in 2017.