The International Energy Agency (IEA) reports the most severe disruption to global oil markets on record. Ongoing conflict in the Middle East has forced the agency to forecast a contraction in global oil demand for 2026. This outlook marks a stark reversal from previous growth projections.
Global oil supply fell by 10.1 million barrels per day in March. Benchmark oil prices have surged to approximately $130 per barrel. This represents an increase of $60 above pre-conflict levels.
The disruption is impacting global supply chains, trade flows, and consumption patterns. The IEA warns that sustained high prices and supply volatility will weigh on the global economy and energy company profitability.