IEA Sees First Global Oil Demand Drop in a Decade
https://www.rigzone.com/news/wire/iea_sees_first_global_oil_demand_drop_in_a_decade-13-feb-2020-161087-article/February 13, 2020
Global oil demand will drop this quarter for the first time in over a decade as the coronavirus batters China’s economy, the International Energy Agency said.
The new estimates show that oil markets face a significant surplus despite the latest production cuts by OPEC and its partners. Crude already sank to a one-year low below $50 a barrel last week and the impact of the epidemic will be felt throughout the year, the agency said.
“Demand has been hit hard by the novel coronavirus and the widespread shutdown of China’s economy,†the Paris-based IEA said. “The crisis is ongoing and at this stage it is hard to be precise about the impact.â€
World fuel consumption -- which had previously been expected to grow by 800,000 barrels a day during the three-month period, compared with a year earlier -- will instead contract by 435,000 a day, the IEA said in its monthly oil market report....
