IEA raises global oil demand forecast

The International Energy Agency (IEA) last Friday raised its forecast for oil demand in 2020, but still warned that the proliferation of COVID-19 poses a risk to the outlook.

The Paris-based IEA lowered its second-quarter decline by less than expected, raising its forecast to 92.1 million barrels per day, an increase of 400,000 barrels from last month's forecast.

"Despite the undoubted progress in the oil market, but... in some large countries and certain countries, the increasing number of COVID-19 cases is disturbingly reminding people that the pandemic has not been controlled, and it is almost certain that our market The outlook is still at risk," the International Energy Agency said in its monthly report.

The IEA stated that the relaxation of blockade measures in many countries has led to a strong rebound in fuel supply in May, June and even July.

However, oil refining activities will be much larger in 2020 than the IEA predicted last month, and then the decline will slow in 2021.


The IEA said: “For the refinery, any benefits from increased demand may be offset by expectations that the raw material market will become more tight in the future. Refining margins will also be affected by excess inventory of major products after a very weak second quarter of 2020 challenge."