U.S. oil prices settle at a 2-month high on fading omicron worries, tight supplies

U.S. oil prices settle at a 2-month high on fading omicron worries, tight supplies

Oil futures rose Tuesday, with U.S. prices marking their highest finish in about two months, supported by tight supplies and growing expectations that the omicron variant of the COVID-19 virus won’t derail global demand.

The market theme is “about demand recovery rather than supply concerns, although both are supportive of oil prices,” Manish Raj, chief financial officer at Velandera Energy Partners, told MarketWatch. Despite omicron’s spread, “global oil demand remains robust among all modes of transportation.”

West Texas Intermediate crude for February delivery CL00, +0.23% CLG22, +0.23% rose $2.99, or 3.8%, to settle at at $81.22 a barrel on the New York Mercantile Exchange. That was the highest front-month contract prices finish since Nov. 11, according to Dow Jones Market Data.

March Brent crude BRN00, +0.06% BRNH22, +0.06%, the global benchmark, rose $2.85, or 3.5%, to $83.72 a barrel on ICE…

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