IEA: US crude output will probably be more than the capacity of either Saudi Arabia or Russia by mid-2019

Impact of higher oil prices is fading and will help offset lower economic growth, said the International Energy Agency's (IEA) in its closely watched report this Friday.

The Paris based agency keeps the estimate of global oil demand growth for 2019 unchanged at 1.4 million bpd and also said that by the middle of the year, US crude output will probably be more than the capacity of either Saudi Arabia or Russia.

Additional highlights:

   •  Global oil supply fell by 950,000 bpd in Dec., led by lower OPEC output ahead of new production cuts.
   •  Non-OPEC production growth to slow to 1.6 million bpd in 2019. 
   •  This comes on the back of a record annual gain of 2.6 million bpd in 2018.
   •  Russia raised oil production in Dec. to record near 11.5 million bpd and remains unclear when it will cut.