Global oil markets remain under severe pressure as the continued closure of the Strait of Hormuz and elevated fuel prices weigh on demand, according to the International Energy Agency (IEA). The IEA expects global oil demand to fall by 1.6 million barrels per day in 2026, while supply is projected to decline by 4.3 million barrels per day.
Oil inventories also fell sharply, with global stocks dropping 69 million barrels in July. Meanwhile, crude prices reached as high as $105 per barrel amid renewed Middle East tensions, while refining margins hit record levels as diesel, jet fuel and gasoline supplies tightened.
The IEA warns that continued disruptions could further deplete global oil buffers, increasing the urgency of reopening the Strait of Hormuz.
