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Oil edged higher amid more softened Covid-19 restrictions from China

27 Dec,2022
Oil edged higher amid more softened Covid-19 restrictions from China

Oil prices touched its highest level in three weeks on Tuesday, amid the lossened curbs in China that bolstered hopes of a revived demand from the biggest crude importer and also the storms that hit the U.S. backed up the prices.

According to the National Health Commission announcement yesterday, upon the coming month, China will no longer oblige travellers to be quarantined. In an attempt geared towards cooling the earlier imposed restrictions on borders.

Brent crude rose by 0.3% at $84.14 per barrel while WTI advanced by $79.63 per barrel.

The greenback saw a slump on Tuesday, consequently making the oil prices less expensive for those owning other currencies.

Prices have been backed up also by the obstructed supplies in the U.S. due to the storms that hit large areas.

It is forecasted that the surge in prices will be temporary as improvement in the weather conditions is expected this week.

Worries are currently hovering around the probability that Russia may trim supplies by average 5% to 7% by the next year.

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