IEA Cuts Global Oil Demand Forecast Amid Ongoing US-Iran Tensions

The International Energy Agency (IEA) has cut its global oil demand forecast for the second time this year, citing ongoing tensions between the US and Iran.

In its latest report, the IEA predicts that global oil consumption will drop by 2.5 million barrels a day in 2026 compared to 2025, a more significant decline than previously expected.

The agency attributes this downward revision to the ongoing impasse in negotiations between the US and Iran, as well as renewed attacks on Iranian oil tankers and refineries.

Oil prices have surged above $100 per barrel due to these concerns, with diesel costs reaching a near four-year high in the US and Europe.