Oil could see another demand shock, adding to the ‘extraordinary’ destruction this year

SourceCNBC
SectorOil & Gas
CountryGCC

SINGAPORE — The next big shock to the oil industry could be yet another hit to demand, analysts said.That would add to the destruction already seen this year as measures taken to combat the pandemic prevented people from commuting and traveling – drastically reducing oil usage.Speaking at S&P Global Platts' Platts Asia Pacific Petroleum Virtual Conference (APPEC) 2020 on Monday, analysts pointed to the possibility of a second wave of Covid-19."A lot of us, we're talking about another demand shock. It's like fighting the last battle," said Ed Morse, managing director and global head of commodities research at Citi.During a panel discussion at the conference, he warned that oil producing countries could experience a big setback."We're seeing countries that are overly dependent on oil earnings, that can't pay for the ...read more...