OPEC has upgraded its world oil demand forecast to 1.27 million barrels per day, an upwards revision of 10,000 barrels per day.
The forecasts - in OPEC's new monthly oil report on Wednesday - come as OPEC countries cut oil output in March more than anticipated. Compliance in the deal, which was initiated to clear a supply glut and boost prices, averaged 104 percent, according to a Reuters calculation based on production figures published by OPEC.
The cut in production comes amid fluctuating oil prices. The OPEC Reference Basket (OBR) fell 5.7 percent in March to $50.32 per barrel. However, the OBR, which refers to weighted average prices for oil produced by OPEC members, saw a sharp increase in prices for both the quarter and the year, pointing to a victory for the OPEC production limits initiated in 2016.