WTI Falls Below $80 as IEA Trims Demand Growth Outlook

The International Energy Agency (IEA) cut its 2025 global oil demand growth forecast in its monthly report from 1.2 mb/d to 1.1 mb/d, citing slowing Chinese demand growth and continued declines in European industrial oil consumption. Meanwhile, China's May official manufacturing PMI came in at 49.1, below the boom-bust line, indicating factory activity remains under pressure. Weighed down by these factors, WTI crude futures broke below $80/bbl while Brent slipped to near $84. OPEC+ production cuts provide only limited support; market focus has shifted from the supply side to demand-side fundamentals, with near-term downside risks for oil elevated.