IEA Sees Global Oil Demand Recovering as Hormuz Flows Resume, but US-Iran Clashes Cloud Outlook

The International Energy Agency said on July 10 that global oil demand has started to recover as oil shipments through the Strait of Hormuz partially resumed in June and international crude prices retreated, but renewed clashes between the United States and Iran have added uncertainty to the outlook, according to Jiemian News. In its monthly oil market report, the IEA said global oil consumption has rebounded from a May low. The agency lowered its forecast for the year’s average daily global oil demand decline to about 1.0 million barrels year-on-year, from a previous estimate of around 1.1 million barrels due to the Iran conflict.