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OPEC says oil market undergoing 'historic shock'

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“The oil market is currently undergoing a historic shock that is abrupt, extreme and at global scale.” Opec OilMarket Shock

“The oil market is currently undergoing a historic shock that is abrupt, extreme and at global scale,” said the group of producer nations in its latest monthly report.

The cartel had previously expected the United States to have been responsible for most non-cartel production growth, but now forecasts US output to drop by 0.15 mbd. The rapid drop in oil demand thanks to the lockdowns introduced to stem the spread of coronavirus saw crude prices tumble by two-thirds from their levels at the beginning of the year has also hit investment.

 

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