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Coronavirus and War Pressure in Oil

Oil prices fell as a result of the re-imposition of a quarantine in China due to an outbreak of a new kind of coronavirus (Covid-19).

Coronavirus and War Pressure in Oil
Yazar: Eylem Özer

Yayınlanma: 3 Mayıs 2022 08:04

Güncellenme: 11 Kasım 2024 12:20

Coronavirus and War Pressure in Oil

Oil prices fell as a result of the re-imposition of a quarantine in China due to an outbreak of a new kind of coronavirus (Covid-19). The latest developments in the Russia-Ukraine conflict continued to push prices upward.

Coronavirus and War Pressure in Oil. The quarantine in China and rumors that the EU will impose an oil embargo on Russia suppressed oil prices in two ways. While the Covid-19 restrictions caused a decline in oil prices, the threat of a Russian blockade has pushed prices higher. Brent crude started the first trading day of the week with a 1 percent depreciation and traded at $106 a barrel. West Texas crude oil lost 0.5 percent on the first trading day of the week, trading at $104 a barrel. Experts stated that the 'gradual' closure announced on March 28 in the Shanghai region has been extended indefinitely in the whole city, as the cases have not decreased, creating concerns that demand will decrease in China, which is the world's largest oil exporter. On the other hand, it is planned to add new economic sanctions to Moscow. Sources close to the matter say the EU plans to ban Russian oil by the end of the year, along with gradual import restrictions.
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