Oil pens the week with decline on sustained Delta concerns

Oil dropped for a third straight day as the continued spread of the delta coronavirus variant hurt prospects for global demand just as drilling data from the US pointed to increased activity.

West Texas Intermediate fell 1.4% after a 0.9% loss on Friday. In Asia, cases were at or near records in Thailand, Vietnam and the Philippines. Anthony Fauci, US President Joe Biden’s chief medical adviser, said that the country was prepared to distribute a third shot of vaccine should that be needed.

After soaring in the first half, crude oil’s rally has started to fray since mid-July. The spread of delta, including in key consumer China, has undermined the outlook for consumption as restrictions on mobility are reintroduced.