LONDON (Reuters) – The International Energy Firm (IEA) on Wednesday anticipated a 29 million barrel each day (bpd) dive in April oil demand to levels not seen in 25 years and warned no output cut by producers might fully balance out the near-term falls facing the market.
FILE PICTURE: A long direct exposure image shows the movement of a petroleum pump jack in the Permian Basin in Loving County, Texas, U.S., November 23,2019 Photo taken November 23,2019 REUTERS/Angus Mordant/File Photo
Standard Brent crude futures LCOc1 fell following the IEA’s month-to-month report, trading down more than 4%or $1.30 to $2830 per barrel at 1027 GMT.
The IEA forecast a 9.3 million bpd drop in demand for 2020 in spite of what it called a “solid start” by producers following a record deal to suppress supply in reaction to the coronavirus pandemic.
” By reducing the peak of the supply overhang and flattening the curve of the accumulation in stocks, they help a complicated system soak up the worst of this crisis,” the Paris-