Oil demand and prices held down despite conflict in Libya, Iraq and Ukraine
IEA lowers outlook for oil demand on unsteady global growth
Unsteady global economic growth is holding down oil demand and prices despite worries about conflict in key regions, the IEA said lowering its demand forecasts.
“Despite armed conflict in Libya, Iraq and Ukraine, the oil market today looks better supplied than expected, with an oil glut even reported in the Atlantic basin,” the International Energy Agency said.
Some of these conflict factors, which could be expected to raise tension and prices on the oil market, might even work in the opposite direction, the agency said.
Tit-for-tat trade sanctions affecting Russia over the crisis in eastern Ukraine could end up depressing growth of the Russian economy and demand for oil, the IEA said.