Fed Watch: Supply and Demand

Tim Duy has a question:

Supply and Demand, by Tim Duy: I caught this via Brad Plummer:

Am I the only one who finds this kind of chart uncomfortable?  Because it seems to say that quantity demanded is consistently higher than quantity supplied, which could only be maintained via a perpetual inventory drain on the order of what looks to be a couple of million barrels a day. I don't think that's happening.  If production is really at the levels indicated in this chart, what stops prices from rising and collapsing quantity demanded down to quantity supply?  

What am I missing?