Opec+ prepares to meet as oil prices edge higher despite Omicron concerns

Opec+ prepares to meet as oil prices edge higher despite Omicron concerns

Opec+, led by Saudi Arabia and Russia, is scheduled to meet on Tuesday as oil prices continued to edge higher, despite demand concerns arising from the worldwide increase in Omicron coronavirus infections.

Brent, the global benchmark for two thirds of the world's oil, was up 0.73 per cent to $78.35 per barrel at 10.35am UAE time on Monday, while West Texas Intermediate, the gauge that tracks US crude, was trading 0.76 per cent higher at $75.78 per barrel.

“Oil prices rose on Monday as the market kicked off 2022 on a positive note, spurred by the global economic recovery from the Covid-19 pandemic slump and producer restraint, even as infections reached record highs worldwide,” said Avtar Sandu, senior manager of commodities at Singapore's Phillip Futures.

Coronavirus infections have been rising worldwide in the past few weeks after the detection of the Omicron variant in South Africa in November. The total cases worldwide currently stand at more than 290.6 million, with deaths exceeding 5.4 million, according to Worldometer, which tracks the pandemic. More than 254.5 million people also recovered from the infection.