Oil Markets Weighing Russian Price Cap
Oil prices have fallen back paring earlier gains. Bloomberg reported that the EU looks set to cap Russian oil at $65-70/bbl. The market had still been weighing up the possibility of a much lower price cap. An announcement by the EU and G7 is expected today or tomorrow if talks progress effectively based on reports.
- The market is tentatively watching what impact the Russian oil cap is set to have on available crude flows on the market as the December 5 EU oil ban swiftly approaches.
- Crude prices have also been weighing up against downward momentum from news out of China this week that strict lockdowns in major populous areas look set to persist.
- Brent JAN 23 down -1.8% at 86.77$/bbl,
- WTI JAN 23 down -1.5% at 79.7$/bbl