🌐 Global Economy 5d ago · Menzie Chinn

Prospects for Oil Prices: Supply Shocks vs. “Demand Destruction”

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Prospects for Oil Prices: Supply Shocks vs. “Demand Destruction”
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The Houthis expand control of the Red Sea side of Yemen, threatening remaining Saudi oil exports — and yet prices fall.


Source: Bloomberg.

One explanation might be news regarding demand destruction, as reported  by the International Energy Agency. From Bloomberg:

The agency said the hit to 2026 oil demand looks set to be on a comparable scale to the four largest shocks of the last 60 years, with the biggest impact falling on middle distillates like diesel, and feedstocks for petrochemi

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