Global oil demand could nearly halve if coronavirus threat escalates

The outbreak comes at a time when geopolitical risks to oil supply are likely to remain elevated in 2020, as both the US and Iran continue their maximum pressure campaigns

Global crude oil demand could drop as much as 42 per cent to 0.77 million barrels per day (million b/d) from the current estimated 1.33 million b/d in February 2020 on a year-on-year basis if the Wuhan virus, or the crononavirus as it is also known, spreads more, says a note from S&P Global Platts.

"In the worst case, global demand growth will remain negative until May. In best case, it would bounce back to positive in March. Yet, notice worst-case is – for now – assumed recession-free. In worst-case, demand reduction would be comparable to a major slowdown. In