JP Morgan expects oil demand to fall
JP Morgan has revised its forecast for oil demand in the third and
fourth quarter of this year downward. In its review it
motivated by the fact that gasoline consumption levels in the United
United States and India were weaker than expected.
The new forecast estimate is 300,000 barrels lower than the previous estimate of 97.7
b/d. By comparison, in the same period of 2019, the figure
was higher by 3%. In the final quarter of the year, the bank expects demand
will be 99.2 b/d, 230 thousand barrels less than the previous
forecast.
In India, JP Morgan now expects lower demand, explaining that
that consumption recovery in that country is not happening as
as quickly as anticipated. In addition, oil demand will fall in winter
in the northern hemisphere, the bank believes. The situation would change
only if energy production suddenly
intensified.
The bank left the fall-winter oil price forecast unchanged.
changes.