The Organization of the Petroleum Exporting Countries (OPEC) has lowered its forecast for global oil demand growth in 2026 to 400,000 barrels per day, down from an estimate of 1.4 million barrels per day at the beginning of the year.
Haitham Al Ghais, OPEC Secretary-General, said the downward revision reflects developments witnessed during 2026.
He added that OPEC expects deferred demand to be offset in 2027, anticipating a buildup of pent-up demand as consumption postponed during the current period resumes.
Oil markets are also being influenced by expectations of increased Russian fuel supplies following US President Donald Trump's announcement of an agreement to supply Russian diesel to American and global markets.
Meanwhile, reports of a potential agreement between Russia and Ukraine to halt reciprocal attacks on energy facilities have added to market expectations.