3 hours agoGlobal oil supply and demand were on track for recovery, International Energy Agency reports
Global oil supply and demand rebounded in June and were on track for further recovery in July before the latest round of U.S. strikes on Iranian targets, according to a Friday report from the International Energy Agency (IEA).
Global oil supply rebounded sharply, adding 4.1 million barrels per day (mb/d) in June to increase to 98.8 mb/d for the month “as a resumption of flows through the Strait of Hormuz underpinned a partial recovery in Gulf production,” the report noted.
Production was still 9.4 mb/d below pre-war levels, however, and yearly output was on track to decline by an average of 3.7 mb/d for 2026 compared to 2025.
Still, global oil inventories rose in June for the first time since February, adding 21 million barrels, led by a 41 million barrel increase to China’s supply.
Further recovery, the report noted, was contingent “on a swift de-escalation of renewed hostilities,” a prospect imperiled by a recent two-day U.S. bombing campaign in Iran that served as retaliation for Iranian attacks on commercial vessels in the Strait of Hormuz