OPEC Cuts Demand Forecast Amid Persistent Export Constraints

OPEC has lowered its global oil demand growth forecast for the fourth consecutive month. The organization now expects demand to grow by 580,000 barrels per day in 2026, down from a previous estimate of 780,000 barrels per day.

In contrast to the International Energy Agency (IEA), which expects demand to contract this year, OPEC maintains its view that demand will continue to expand. However, the widening divergence between the two organizations underscores the impact of Middle East tensions on oil consumption.

Saudi Arabia's crude production rebounded sharply in July, rising to 8.2 million barrels per day. This increase reflects Gulf producers ramping up output during the temporary U.S.-Iran ceasefire. However, production remains below pre-war levels.