Global oil demand unlikely to get vaccine boost until later in 2021: IEA

Global oil demand is unlikely to get a significant boost from the roll-out of vaccines against COVID-19 until well into 2021, the International Energy Agency (IEA) said on Thursday, a view that curbed oil price gains since vaccine progress was announced earlier this week.

“It is far too early to know how and when vaccines will allow normal life to resume. For now, our forecasts do not anticipate a significant impact in the first half of 2021,” the Paris-based IEA said in its monthly report.

“The poor outlook for demand and rising production in some countries … suggest that the current fundamentals are too weak to offer firm support to prices.”