Crude oil prices slipped on Thursday after making big gains in earlier sessions, amid uncertainty over short term demand as omicron case continues to rise globally.
U.S. West Texas Intermediate (WTI) crude futures slipped by 0.18% at $82.49 per barrel while Brent inched down by 0.21% to $84.49 per barrel.
Data from the U.S. Energy Information Administration on Wednesday showed fuel demand has taken a hit from Omicron, with gasoline stockpiles increasing by 8 million barrels in the week to Jan. 7, compared with analyst expectations for 2.4 million-barrel rise.
“Gasoline demand was weaker-than-expected and still below pre-pandemic levels, and if this becomes a trend, oil won’t be able to continue to push higher,” OANDA analyst Edward Moya said in a note, as reported by Reuters.
“In reality, the weekly EIA report was less bullish than the headline number, as total crude oil inventories fell 4.8 million barrels but were more than offset by a stock build across refined products,” Citi said in a note.
