Oil prices have rebounded from earlier losses and are trading up $0.54 to $78.46. Crude had traded as low as $77.34 in the aftermath of the CPI report but everything is bid in the past hour.

Helping oil along was the latest OPEC report. There was speculation they would dim their view of demand growth this year because Saudi Arabia indicated doubts. Instead, they continued to stick with 2.25 mbpd this year and raised its economic forecasts. The 2025 forecast of 1.85 mbpd in growth was also maintained.

In terms of GDP growth, OPEC sees global growth at 2.8% this year, up from 2.7% in its most-recent forecast.

Currently the gap between OPEC and EIA demand growth forecasts is the largest since at least 2008 with a difference of about 1 mbpd. That delta will go a long ways towards determining where oil prices end up this year.

For now, crude continues to flirt with $80 but appears to be unable to hold above it. We will get the API weekly inventory data after the US close and EIA inventory data tomorrow.