Strong China oil demand undercut by February stockbuild

China’s implied oil demand stayed strong in January and rose in February, Reuters calculations showed, but bulging fuel stocks and sluggish sales showed consumption was weaker than it seemed. However, demand is expected to bounce back this month as China shrugs off its winter sloth and returns to work in earnest after the Lunar New Year holiday, which fell in February this year. Oil demand in the world’s second-largest oil consuming nation leapt by 23.2 % in the first month of the year from the low base of January 2009. Preliminary trade figures for February, coupled with production data released by the National Bureau of Statistics, showed February’s demand rising 10% from January, and maintaining 20% growth from a year earlier. (March 11, 2010)