A resurgence of coronavirus cases will have ‘major consequences’ for the oil market, IEA warns

A resurgence of coronavirus cases will have ‘major consequences’ for the oil market, IEA warns

In its closely-watched monthly report, the IEA's outlook for oil demand showed a fall of 8.6 million barrels per day (b/d) to 91.2 million b/d this year.. The International Energy Agency (IEA) said on Thursday that market forces had "demonstrated their power" on the supply side of the oil market in recent weeks, but concerns remain over the potential for a second wave of Covid-19 infections.. "Oil production is reacting in a big way to market forces and economic activity is beginning a gradual-but-fragile recovery," the IEA said.. "It is on the supply side where market forces have demonstrated their power and shown that the pain of lower prices affects all producers," the IEA said.. The IEA said the gradual relaxation of restrictions was helping demand in energy markets..