Sept 13 Reuters Oil rose on Wednesday, firming its ground near a 10month peak reached during trading a day earlier, as the market balanced supply concerns over Libya output and OPEC cuts with global macroeconomic headwinds.

Benchmark Brent futures edged higher by 8 cents, or 0.1, to 92.14 a barrel by 0630 GMT, while U.S. West Texas Intermediate WTI crude climbed 13 cents, or 0.2, to 88.97 a barrel.

Both benchmarks surged nearly 2 on Tuesday to close at their highest levels since November 2022.

Bullish demand outlook by the OPEC and the U.S. Energy Information Administration39;s EIA prediction of a decline in global oil inventories reinforced market views of tightening supply going forward, said Satoru Yoshida, a commodity analyst with Rakuten Securities.

The news of OPEC member Libya shutting four of its eastern oil export terminals due to a deadly storm also lent support to oil prices, he added.

But further gains may be limited as there is also downside pressure from lingering worries over weaker demand in China, Yoshida said.

The Organization of the Petroleum Exporting Countries OPEC stuck to its forecasts for robust growth in global oil demand in 2023 and 2024, citing signs that major economies are faring better than expected despite headwinds such as high interest rates and elevated inflation.

Keeping supplies tight, Saudi Arabia and Russia last week extended voluntary supply cuts of a combined 1.3 million bpd to year end. OPEC, Russia and allied producers…