According to Bloomberg, the International Energy Agency made a better outlook for global oil demand in 2020 through its monthly report. However, he pondered the result, claiming that recovery may be affected by another wave of coronavirus.
According to the document, the collapse in fuel consumption during the second quarter was slightly less severe than previously estimated and demand is expected to recover greatly over the next three months as activity resumes. In addition, crowded inventories will decline as the Organization of petroleum exporting countries (OPEC) and its allies insist on huge production cuts.
However, the IEA has pondered the improvement due to the acceleration of coronavirus infections, which is taking place in several U.S. states and resurfacing in Asia: “The large number of covid-19 cases, accelerating in some countries, is a disturbing reminder that the pandemic is not under control and the risk to our market outlook almost certainly leans to the downside” Said.