Global Oil Demand Set to Fall
Global oil demand is forecast to fall by 435K b/d y-o-y in 1Q20 due to the coronavirus outbreak, the first quarterly contraction in over 10 years, according to the latest report from the International Energy Agency. The projection for 2020 growth has been cut by 365K b/d to 825K b/d, the lowest since 2011. Meanwhile, it has also revised down its projection for global refinery runs. It now expects Chinese throughputs to contract by 0.5M b/d in 1Q20 having cut the forecasts by 1.1M b/d from its previous report. As such, overall global runs are expected to rise by just 0.7M b/d in 2020.