WASHINGTON (dpa-AFX) - Oil prices rose in light trade on Tuesday amid fears over supply disruption from winter storms across the United States and worries over a possible production cut by Russia.
Prices were also boosted by hopes that easing anti-COVID measures will help revive fuel demand in the world's second-largest economy.
Benchmark Brent crude futures rose 0.3 percent to $84.75 a barrel, while WTI crude futures were up 0.3 percent at $79.83. Trading volumes were thin as many market participants were away on holiday.
A winter storm that has killed at least 25 people in western New York was dubbed the 'blizzard of the century' Monday by the state's governor.
Media reports suggest that the relentless storm has affected logistics and production of petroleum products and shale oil.
Concerns over a possible production cut by Russia also contributed to oil price gains. Russia may cut oil output by 5-7 percent in early 2023 as it responds to price caps, the RIA news agency cited Deputy Prime Minister Alexander Novak as saying on Friday. Meanwhile, the dollar eased on improved risk sentiment in financial markets after China said it would end travel restrictions and quarantine for inbound travelers from Jan. 8 - symbolizing an end to its zero-COVID policy that has been in place for nearly three years.
The lifting of pandemic restrictions came as data showed profits at China's industrial firms contracted further in the January-November period when strict COVID-19-related restrictions disrupted factory activity and supply chains.
Copyright(c) 2022 RTTNews.com. All Rights Reserved
Copyright RTT News/dpa-AFX
© 2022 AFX News
