IEA Cuts 2026 Demand Forecast, Oil Prices Decline
Oil prices declined on Thursday, August 13, as the International Energy Agency (IEA) cut its demand forecast for 2026 by 1.6 million barrels per day.
The IEA's report projected a global oil demand fall of 1.6 million barrels per day across 2026, with a shortfall of 1.8 million barrels per day during the current quarter due to ongoing conflict.
West Texas Intermediate (WTI) fell to $82.11 per barrel, down 1.39% from the previous session, while Brent crude dropped to $87.92, down 1.19%. Both benchmarks extended losses through the European morning, with quotes reaching $81.32 for WTI and $87.04 for Brent.
The IEA's report noted that global oil demand faces a physical deficit due to supply destruction outpacing demand destruction. OPEC has also cut its 2026 demand growth forecast in three consecutive monthly reports, with the July revision trimming the number by 20%.