Oil consumption expected to shrink in U.S. and Russia

According to Goldman Sachs, demand for oil is declining at a faster pace than expected and consumption is expected to fall by 25% or 26 million barrels this week in the United States, Russia and Canada. In this current global picture, P&G production in the countries is most vulnerable.

Goldman team analysts said in a report that global distancing measures to contain the COVID-19 pandemic currently affect 92% of global GDP. Production cuts were announced in wells of at least 900,000 barrels per day, but the actual number is expected to be higher and increase by the hour, they said.

For analysts, a positive point may be that the current oil crisis will cause "the energy sector to finally lead the restructuring it so badly needs, although the initiative for decarbonization from the capital market could undermine the broad investment needed for a recovery."


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