HashbrownSG
2021-08-13
Hmm
Oil Pares Weekly Gain With Delta Concerns Hanging Over Market
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The latest Covid-19 wave is leading to renewed curbs on movement across the globe, although there are mixed assessments on its impact. The International Energy Agency cut its demand forecasts for the rest of the year, while <a href=\"https://laohu8.com/S/GS\">Goldman Sachs</a> Group Inc. predicts only a transient hit to consumption.</p>\n<p>See also: Cheap U.S. Oil Being Snapped Up in Asia Despite Delta Lingering</p>\n<p>Delta has interrupted oil’s rally after a rapid rebound from the pandemic in big economies such as the U.S. helped drive prices more than 50% higher over the first half of the year. The biggest concern is the flare-up in <a href=\"https://laohu8.com/S/CAAS\">China</a>, where authorities have taken an aggressive approach to containing the outbreak despite having <a href=\"https://laohu8.com/S/AONE.U\">one</a> of the world’s highest vaccination rates.</p>\n<p>Oil’s market structure has also taken a hit from delta. 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The latest Covid-19 wave is leading to renewed curbs on movement across the globe, although there are mixed assessments on its impact. The International Energy Agency cut its demand forecasts for the rest of the year, while Goldman Sachs Group Inc. predicts only a transient hit to consumption.\nSee also: Cheap U.S. Oil Being Snapped Up in Asia Despite Delta Lingering\nDelta has interrupted oil’s rally after a rapid rebound from the pandemic in big economies such as the U.S. helped drive prices more than 50% higher over the first half of the year. The biggest concern is the flare-up in China, where authorities have taken an aggressive approach to containing the outbreak despite having one of the world’s highest vaccination rates.\nOil’s market structure has also taken a hit from delta. Brent’s prompt timespread was 40 cents a barrel in backwardation -- a bullish signal where near-dated contracts are more expensive than later-dated ones -- on Thursday. 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