The International Energy Agency (IEA) – in its monthly oil market report released this Friday, maintained its 2019 Oil demand growth estimate at 1.2 million bpd (mbpd) and at 1.4 mbpd for 2020.

Key points:

• Consumption proved far weaker than expected, the outlook for 2020 is also deteriorating.
• OPEC supply cuts do not change the fundamental outlook of an oversupplied market.
• OPEC may need to reduce output to the lowest in 17 years to balance the market.
• Global oil stockpiles swelled surprisingly during the first half of 2019.