Commodities: Saudi energy chief eyes end to OPEC supply curbs

Falling energy futures dragged the commodities complex lower on Wednesday.

In remarks to Bloomberg TV, the head of the International Energy Agency, Fatih Birol, said “US shale-oil production will definitely react strongly [as a result].”

Speaking on the sidelines of the World Economic Forum in Davos, Switzerland, Birol said: "a lot of shale plays in the United States would make perfect sense to produce."

As recently as December, the EIA had predicted only a "marginal" increase in US shale oil output.

By 1955 GMT, front month West Texas Intermediate was down by 3.02% to $1.5521 a gallon on NYMEX, alonside a slide of 3.34% to $3.30MMBtu for February 2017 natural gas futures.

Adding fuel to the proverbial fire, also speaking on the sidelines of Davos the Saudi energy minister said demand was proving "unexpectedly robust".

That, Khalid Al-Falih said, may mean the Organisation of Petroleum Exporting Countries does not need to extend its supply curbs past June.

As of 1959 GMT the Bloomberg Commodity index was up by 0.66% to 88.14 while the US dollar spot index was gaining 0.64% to 100.97.