Everything Points To Huge Crude Oil Demand -- March 9, 2021

Re-posting, link here. 

Another ridiculous article coming out of Paris. I would have expected this article in The Economist, not The Wall Street Journal. 

So, Paris is going to blame any failure of emerging markets on the US. So, what's new? Except, as noted, that's an article for The Economist, not The WSJ.

First, the two graphics:

But let's ignore that craziness of the Paris folks and concentrate on data:

• the rise in US government bond yields in response to higher growth and inflation expectations could spark capital fight from emerging economies (well, duh);
• Paris now expects the world economy to reach pre-pandemic levels of output by the middle of this year, six months earlier than it expected when it last published updated forecasts, last November, 2020
• repeat: Paris now expects the world economy to reach pre-pandemic levels of output by the middle of this year, six months earlier than it expected when it last published updated forecasts, last November, 2020
• Paris now sees global output increasing by 5.6% in 2021; previously the forecast goal was only 4.2%;
• for the record, global output declined 3.4% in 2020;
• the main reason for the upgrade is a stronger outlook for the US economy, which it now sees expanding by 6.5%, more than twice the pace it forecast in November and the fastest expansion since 1984;
• Paris now predicts the US economy will be larger at the end of 2022 than it had expected before the pandemic struck;
• among the other Group of 20 countries:
• only Turkey is seen being in a similar position;
• India is expected to see the largest shortfall, with GDP more than 8% down on where it was expected to be before Covid-19 began to spread;
• Paris notes:
• the slow pace of vaccination in Europe precludes any need for fiscal stimulation; even if citizens got the $1400 check they wouldn't spend it; they are still locked down and living in fear
• the obvious question: why is vaccination in socialist EU so slow where everything is centrally planned vs incredible experience in the free market atmosphere of the US where things are de-centralized among fifty states?