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Crude Extends Decline on Demand Concerns and China Restrictions

OIL

Brent and WTI crude move lower on concerns for weaker demand

  • Rate hikes by central banks and renewed covid related restrictions in China are both adding downward pressure to crude prices. China's Shenzhen region has widened covid restrictions due to a rise in cases.
  • G7 ministers are due to discuss the US proposed price cap on Russian oil at a meeting on Friday. The price cap would aim to stop shipping insurance and finance for oil cargoes priced above an undetermined level.
    • Brent NOV 22 down -1.5% at 94.16$/bbl
    • WTI OCT 22 down -1.5% at 88.17$/bbl
    • WTI-Brent up 1.12$/bbl at -6.44$/bbl
    • Brent NOV 22-DEC 22 down -0.11$/bbl at 1.32$/bbl
    • Brent DEC 22-DEC 23 down -0.39$/bbl at 8.89$/bbl

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