Oil slip after restriction to counter Omicron variants


London-Oil prices fell after an early rise on Thursday after several government measures to slow the spread of the Omicron coronavirus variant, but the loss was due to comments from vaccine makers about the effectiveness of the jab. Limited.

Brent crude oil futures peaked at $ 76.70 and then fell 47 cents (0.6%) to $ 75.35 a barrel by 1004 GMT. West Texas Intermediate (WTI) crude oil futures hit a high of $ 73.34 and then fell 31 cents (0.4%) to $ 72.05.

British Prime Minister Boris Johnson imposes stricter COVID-19 restrictions in the UK on Wednesday, where people work at home as much as possible, wear masks in public places, and for admission to specific events and venues. He said he needed to present a COVID-19 vaccine path.

Denmark is also planning new restrictions, including the closure of restaurants, bars and schools, but China has suspended group tourism from Guangdong.

“Therefore, oil demand is unlikely to escape completely intact, but the impact will not be as serious as initially feared,” Commerzbank said.

The market was boosted by comments from BioNTech and Pfizer that a 3-shot course of COVID-19 vaccine could prevent infection from the Omicron mutant.

The outbreak of Omicron caused a 16% drop in Brent prices from November 25th to December 1st. More than half of the decline has recovered this week, but analysts say further recovery may be limited until the effects of Omicron become apparent.

US inventory data released Wednesday also put pressure on prices.

According to Energy Information Administration (EIA) data, crude oil inventories fell by 240,000 barrels last week, far less than analysts expected in a Reuters survey, and Oklahoma’s crushing delivery hub inventories increased by 2.4 million barrels. Did.

According to the data, fuel inventories also increased by 6.6 million barrels.

By Ahmad Ghaddar

Reuters

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