IEA sees oil demand recovery decelerating for rest of 2020

The International Energy Agency (IEA) trimmed its 2020 oil demand forecast, citing caution about the pace of economic recovery from the pandemic.

The Paris-based IEA cut its 2020 outlook by 200,000 barrels per day (bpd) to 91.7 million bpd in its second downgrade in as many months.

“We expect the recovery in oil demand to decelerate markedly in the second half of 2020, with most of the easy gains already achieved,” the IEA said in its monthly report.

“The economic slowdown will take months to reverse completely ... in addition, there is the potential that a second wave of the virus (already visible in Europe) could cut mobility once again.”