IEA cuts oil demand growth forecasts

…The IEA, adviser to 27 industrialised nations on energy policy, noted anecdotal evidence of a more permanent downward trend in demand in the United States, the world’s biggest energy consumer.

These included a marked shift to more efficient vehicles, changing mobility and driving habits, signs that suburban living was gradually losing its appeal, the agency said.


Oil prices reached a record peak of $147.27 a barrel on July 11, but have fallen about 30 percent since then partly in response to signs of falls in demand.

The Organization of the Petroleum Exporting Countries responded this week with a cut in output targets of half a million barrels per day.

The agency saw any move to limit supply as potentially counterproductive when the global economy is in a fragile state.

Reuters