The World Bank has warned that disruptions in the Strait of Hormuz and escalating conflict in the Middle East are triggering a global oil supply shock that is beginning to suppress energy demand worldwide.
In its May 7 analysis, the World Bank said that global oil demand declined by 0.8 million barrels per day year over year in March and is forecast to fall by another 1.5 million barrels per day in the second quarter of 2026.
