World oil demand continued to decelerate in the second quarter - International Energy Agency (IEA)

World oil demand continues to decelerate, with 2Q24 growth easing to 710 kb/d year-on-year – the slowest quarterly increase since 4Q22.

Global gains are forecast to average just below 1 mb/d in 2024 and 2025, as subpar economic growth, greater efficiencies and vehicle electrification act as headwinds.

Global supply rose 150 kb/d to 102.9 mb/d in June as field maintenance eased and biofuels rose, offsetting a significant drop in Saudi flows.

Solid monthly gains pushed 2Q24 output 910 kb/d higher q-o-q.

Growth of 770 kb/d is seen for 3Q24 with non-OPEC+ providing 600 kb/d of the gains.

Annual increases of 770 kb/d are forecast in 2024 with gains of 1.8 mb/d next year.

Global refinery throughputs are forecast to rise by 950 kb/d to 83.4 mb/d in 2024, and by 630 kb/d to 84 mb/d next year.

Global observed oil inventories rose for a fourth consecutive month in May, by 23.9 mb.

Offshore inventories drew by 17.3 mb while on land stocks built by 41.3 mb to a 30-month high.

OECD industry stocks rose by 27.8 mb to 2 845 mb but remained 69 mb below their five-year average.

Preliminary data show global oil stocks falling by 18.1 mb in June, dominated by crude while products built.