Sunday, February 5, 2023
  • Contact Us
  • Terms of Use
  • Privacy Policy
  • DMCA
  • CCPA
Oil Market News Today
Advertisement
  • Home
  • Market
    • All
    • Africa
    • Europe
    • Middle East
    • Russia
    • US
    • Venezuela
    Chinese oil giant CNPC eyes BP’s $1.5bn stake in Oman gas field

    Chinese oil giant CNPC eyes BP’s $1.5bn stake in Oman gas field

    Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

    Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

    Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

    Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

    Construction of Dangote oil refinery Africa’s largest nears completion

    Construction of Dangote oil refinery Africa’s largest nears completion

    Oil rises further from 3-week lows, but headwinds loom amid pandemic

    Oil rises further from 3-week lows, but headwinds loom amid pandemic

    TC Energy says new U.S. permit to boost Keystone pipeline oil exports by

    TC Energy says new U.S. permit to boost Keystone pipeline oil exports by

    • US
    • Russia
    • Europe
    • Middle East
    • Africa
    • Venezuela
  • Oil News
  • Oil & Gas
  • Diesel
  • Oil Price
  • Politics
  • Industry
  • Companys
  • Production
  • Natural Gas
No Result
View All Result
  • Home
  • Market
    • All
    • Africa
    • Europe
    • Middle East
    • Russia
    • US
    • Venezuela
    Chinese oil giant CNPC eyes BP’s $1.5bn stake in Oman gas field

    Chinese oil giant CNPC eyes BP’s $1.5bn stake in Oman gas field

    Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

    Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

    Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

    Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

    Construction of Dangote oil refinery Africa’s largest nears completion

    Construction of Dangote oil refinery Africa’s largest nears completion

    Oil rises further from 3-week lows, but headwinds loom amid pandemic

    Oil rises further from 3-week lows, but headwinds loom amid pandemic

    TC Energy says new U.S. permit to boost Keystone pipeline oil exports by

    TC Energy says new U.S. permit to boost Keystone pipeline oil exports by

    • US
    • Russia
    • Europe
    • Middle East
    • Africa
    • Venezuela
  • Oil News
  • Oil & Gas
  • Diesel
  • Oil Price
  • Politics
  • Industry
  • Companys
  • Production
  • Natural Gas
No Result
View All Result
Oil Market News Today
No Result
View All Result
Home oil news

Rise of remote working is ‘biggest threat to oil demand,’ says analyst

June 29, 2020
in oil news
Rise of remote working is ‘biggest threat to oil demand,’ says analyst
Share on FacebookShare on Twitter


Latest Oil MArket NewsPosts

Commodity outlook: Crude oil gains; here’s how others may fare

Shell’s second-quarter profit slumps 82% on coronavirus hit to oil prices,

Stock Market Live: Sensex rises 300 points, Nifty above 11,250; Dr Reddy’s,

Will Cautero prepares to teach his 11th grade English class to Las Lomas High School students remotely from his home in Oakland, Calif. on Thursday, April 16, 2020.

Paul Chinn | The San Francisco Chronicle via Getty Images

Working from home has become the norm, and if the trend continues even after the pandemic abates, it could pose a big risk for oil, analysts are warning.

“The biggest threat to oil demand is the rise of remote working,” Bernstein said in a recent note to clients. “A decrease in commuting and business air travel is clearly negative for oil demand.”

Gasoline represents a sizable portion of overall oil demand — within each barrel of refined crude about 45% is used for gasoline — and, according to RBC, about 28% of gasoline demand in the U.S. is from people driving to and from work.

Oil prices are, of course, driven by supply and demand dynamics, so a change on one side of the equation can send prices into a tailspin.

Oil took a hit in April as billions of people around the world were subjected to some form of lockdown measures in an effort to slow the spread of Covid-19. With air and road travel coming to a virtual standstill, oil demand fell off a cliff. West Texas Intermediate, the U.S. oil benchmark, plunged below zero and into negative territory for the first time on record since no one wanted to take physical delivery of crude with demand expected to remain depressed.

Now, WTI is on track for its best month ever as economies have started to reopen, and as producers have announced record output cuts. 

But demand might not ever fully recover. Twitter and Shopfiy are among the companies that have announced permanent work-from-home options, and more companies are expected to follow suit.

“Pretty much every company out there with a sizable commercial real estate footprint is thinking about this now,” said Dan Klein, head of scenario planning at S&P Global Platts. “While it’s probably too early to tell how prevalent this structural shift in working from home will become after the restrictions are lifted, it’s clear that a certain percentage of workers will never go back to commuting, at least every day,” he added. The firm believes between 1 million barrels per day and 1.5 million bpd will be permanently lost.

A man wearing a protective mask crosses an empty street during the coronavirus pandemic on May 18, 2020 in New York City.

Cindy Ord | Getty Images

Prior to the outbreak of Covid-19, worldwide demand stood at roughly 100 million bpd, according to the International Energy Agency.

Klein said an even bigger risk could be the impact on business air travel, especially over the longer-term, as employees get used to using Zoom, Skype and Microsoft Teams. “Right now you’re challenging that notion that business travel is the cost of doing business,” he said, noting that the demand hit could be 1.5 million bpd to 2 million bpd.

Raymond James added that heightened unemployment as well as online education will also eat away at demand. “We assume that vehicle fuel consumption in 2021 will be impacted by 1.6 million bpd versus pre-COVID…



Read More: Rise of remote working is ‘biggest threat to oil demand,’ says analyst

Tags: analystBiggestBreaking News: BusinessBreaking News: InvestingBreaking News: MarketsBusinessbusiness newsCoronavirusCOVID-19DEMANDInvestment strategyMarketsoilOil and GasremoteriseStock marketsthreatworkingWTI Crude (Jun'20)

Related Posts

Commodity outlook: Crude oil gains; here’s how others may fare
oil news

Commodity outlook: Crude oil gains; here’s how others may fare

by Oil Market
July 31, 2020
0

NEW DELHI: There was a sea of green in the commodities market bullion, base metals and bullion futures rose...

Read more
Shell’s second-quarter profit slumps 82% on coronavirus hit to oil prices,
oil news

Shell’s second-quarter profit slumps 82% on coronavirus hit to oil prices,

by Oil Market
July 30, 2020
0

Carl Court | AFP | Getty ImagesOil giant Royal Dutch Shell on Thursday reported a sharp drop in net...

Read more
Stock Market Live: Sensex rises 300 points, Nifty above 11,250; Dr Reddy’s,
oil news

Stock Market Live: Sensex rises 300 points, Nifty above 11,250; Dr Reddy’s,

by Oil Market
July 30, 2020
0

Stock Market Live: Indian shares were trading higher on Thursday mainly led by gains in pharma and IT...

Read more
US stocks decline as stimulus negotiations heat up and earnings miss hopes
oil news

US stocks decline as stimulus negotiations heat up and earnings miss hopes

by Oil Market
July 29, 2020
0

Reuters US stocks closed down on Tuesday as investors mulled Senate Republicans' coronavirus stimulus package and a slew of...

Read more
Tokyo Gas : Acquires Oil and Gas Assets in Louisiana Through Castleton
oil news

Tokyo Gas : Acquires Oil and Gas Assets in Louisiana Through Castleton

by Oil Market
July 29, 2020
0

29 July 2020 Company: Tokyo Gas Co., Ltd. Representative: President, Takashi Uchida Tokyo Stock Exchange, Tokyo 1st Section Security...

Read more
Stocks in the news: Nestle India, UltraTech Cement, Mahindra Finance, ITC,
oil news

Stocks in the news: Nestle India, UltraTech Cement, Mahindra Finance, ITC,

by Oil Market
July 28, 2020
0

Nifty futures on the Singapore Exchange traded 76.5 point, or 0.69 per cent higher at 11,195, in signs that...

Read more
Next Post
Oil falls in second straight session as virus cools demand – ET EnergyWorld

Oil falls in second straight session as virus cools demand - ET EnergyWorld

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Today Oil Markets

$190 oil sounds crazy. But JPMorgan thinks it’s possible, even after the

$190 oil sounds crazy. But JPMorgan thinks it’s possible, even after the

3 years ago
Oil drops more than 8% as fears over second wave of coronavirus cases hit

Oil drops more than 8% as fears over second wave of coronavirus cases hit

3 years ago
Boulder County commissioners extend oil and gas moratorium

Boulder County commissioners extend oil and gas moratorium

3 years ago
Oil tallies a nearly 10% weekly gain as OPEC+ tightens reins on output

Oil tallies a nearly 10% weekly gain as OPEC+ tightens reins on output

3 years ago
The Global Corn Oil Market is expected to grow from USD 4,144.79 Million in

The Global Corn Oil Market is expected to grow from USD 4,144.79 Million in

3 years ago
US OIL INVESTOR ALERT: Investor Lawsuit Filed

Europa Oil & Gas (Holdings) Plc – Director Retirement and Corporate Update

3 years ago

Oil Market

Chinese oil giant CNPC eyes BP’s $1.5bn stake in Oman gas field

Chinese oil giant CNPC eyes BP’s $1.5bn stake in Oman gas field

July 31, 2020
Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

July 31, 2020
Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

July 31, 2020
Construction of Dangote oil refinery Africa’s largest nears completion

Construction of Dangote oil refinery Africa’s largest nears completion

July 31, 2020

Russia Oil Market

Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

July 31, 2020
Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

Global Ginger Essential Oil Extract Market 2020 with (COVID-19) Impact

July 31, 2020
CORONAVIRUS (COVID-19) IMPACT ON Sandalwood Essential Oil Market OUTLOOK,

CORONAVIRUS (COVID-19) IMPACT ON Sandalwood Essential Oil Market OUTLOOK,

July 29, 2020
Gas, Oil and Dual-fuel Burners Market Size 2020, Global Industry Trends,

Gas, Oil and Dual-fuel Burners Market Size 2020, Global Industry Trends,

July 28, 2020

Europe Oil Market

Oil rises further from 3-week lows, but headwinds loom amid pandemic

Oil rises further from 3-week lows, but headwinds loom amid pandemic

July 31, 2020
Shell posts $18billion loss in second quarter – News for the Oil and Gas

Shell posts $18billion loss in second quarter – News for the Oil and Gas

July 30, 2020
Path to net zero: European oil majors outpace US companies on climate goals

Path to net zero: European oil majors outpace US companies on climate goals

July 29, 2020
Oil price holds near four-month high amid bearish signals – News for the

Oil price holds near four-month high amid bearish signals – News for the

July 28, 2020
  • Contact Us
  • Terms of Use
  • Privacy Policy
  • DMCA
  • CCPA

© 2020 MarketFor Oil.com

No Result
View All Result
  • Home
  • Market
    • US
    • Russia
    • Europe
    • Middle East
    • Africa
    • Venezuela
  • Oil News
  • Oil & Gas
  • Diesel
  • Oil Price
  • Politics
  • Industry
  • Companys
  • Production
  • Natural Gas

© 2020 MarketFor Oil.com