Possible second wave of Covid-19 cases pushes oil prices down

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Possible second wave of Covid-19 cases pushes oil prices down
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The EIA now expects world oil demand to fall by 8.1-million bpd compared with a previous forecast for a drop of 5.2-million bpd

London — Oil prices fell on Wednesday as potential Opec+ plans to deepen supply cuts were overshadowed by demand concerns worsened by a possible second wave of coronavirus infections as countries ease lockdowns.

“Fears are running rife that easing lockdown measures will trigger a second wave of coronavirus infections,” said Stephen Brennoc at oil brokerage PVM. The US Energy Information Administration now expects world oil demand to fall by 8.1-million barrels per day this year to 92.6-million bpd, compared with a previous forecast for a drop of 5.2-million bpd.

Saudi Arabia's cabinet has urged Opec+ countries to reduce output further to restore balance in global crude markets, the country's state news agency reported early on Wednesday.

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