Oil starts new year on positive note, pandemic worries curb gains
Oil prices rose Monday as the market kicked off 2022 on a positive note, although concerns over demand waning due to rapidly spreading Covid-19 pandemic limited gains.
Brent crude added 67 cents, or 0.86 per cent, to $78.45 a barrel, as of 5.32 am. US West Texas Intermediate crude futures gained 77 cents, or 1.02 per cent, to $75.98 a barrel.
Last year, oil prices rose around 50 per cent, spurred by the global economic recovery from the Covid-19 pandemic slump and producer restraint, even as infections reached record highs worldwide.
US health experts warned Americans to prepare for severe disruptions in the coming weeks, with infection rates likely to worsen amid increased holiday travel, New Year celebrations and school reopenings following winter breaks.
