Citi cuts 2021 oil price outlook on COVID-19 concerns | Reuters
Oil prices rose more than 2% on Monday, with Brent futures topping $40 a barrel, after Joe Biden clinched the U.S. presidency and buoyed risk appetites, offsetting worries about the impact on demand from the worsening coronavirus pandemic.
Brent crude futures LCOc1 for January climbed 94 cents, or 2.4%, to $40.39 a barrel by 0710 GMT, while U.S. West Texas Intermediate crude CLc1 for December was at $38.07, up 93 cents, or 2.5%.
Oil recovered from a 4% decline on Friday, rising along with other financial markets after Biden emerged as the winner in the U.S. presidential race on Sunday. Meanwhile, the dollar weakened, boosting commodities priced in the greenback as they became more affordable for investors holding other currencies.
“Trading this morning has a risk-on flavour, reflecting increasing confidence that Joe Biden will occupy the White House, but the Republican Party will retain control of the Senate,” Michael McCarthy, chief market strategist at CMC Markets in Sydney.
No comments:
Post a Comment