The IEA sharply reduced its global demand estimates for 2021 in its latest Oil Market Report (OMR), cutting the forecast by 280,000 b/d. This was the largest downgrade since the IEA first unveiled its 2021 expectations last June.
The downwards revision in the 18 January report comes amid a global escalation of Covid-19 cases which has resulted in “tougher government plans that call for more travel restrictions and lockdowns that will further limit mobility.” Cuts are frontloaded to the first half of the year, with Q1 demand downgraded by a whopping 580,000 b/d (see table). 4Q 2020 demand was also cut by 210,000 b/d. (CONTINUED - 828 WORDS)
