After spending a good portion of yesterday's NYMEX session above the $75 mark, crude oil retreated below, by the close. API reported crude inventories fell by 7.3MM bbls. EIA is expected to report later in the day though, that crude stocks rose by 900k bbls.

However, EIA did revise lower its oil price forecasts for 2010 and 2011 to 77 for 2010 and 82 for 2011, compared with corresponding forecasts of 81 and 84 made in August as a result of lower domestic GDP projections.

OPEC predicted that the world will need 28.8MM bpd from its 12 members next year, about 100k bpd less than in last month’s report. The cartel also forecast that producers outside the organization will bolster supplies next year by 360k bpd. Refiners probably cut crude through put runs to the lowest level since April as they began seasonal maintenance cutting into demand for the feedstock.

Short term demand may get a slight boost though after an explosion at Petroleos Mexicanos’s Cadereyta refinery, Mexico being the biggest market for U.S. exports, importing 432k bpd of fuel in June, according to the Energy Department.

These influences aside though, the climate still does not feel at all friendly for significant energy demand growth and thus, not given to structural adjustments in oil prices from current levels.

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