IEA says that global oil demand will decline this year for the first time since the global financial crisis
The agency now expects demand to contract by 90k bpd, as compared with their previous estimate of just over 800k bpd of growth. Notably, they also included a scenario in which demand loss would be more severe in their latest outlook on the oil market.
"In the past few weeks, coronavirus has gone from being a Chinese health crisis to a global health emergency. Containment measures have resulted in drastic reductions in international and domestic transportation around the world."
IEA expects a drop of about 2.5 mil bpd in Q1 in global demand, largely dragged by the fallout in China, which saw a 3.6 mil bpd plunge last month.
