Oil Dips Amid Broader Market Declines and U.K. Virus Rise
- U.K.’s Johnson expected to delay lifting virus restrictions
- Technical indicators show crude oil in overbought territory
This article is for subscribers only.
Oil closed little changed amid broader market declines and as an extension of virus restrictions in the U.K. tempered optimism around a robust summer demand recovery in Western countries.
Futures in New York ended the session less than 1% lower on Monday, erasing an earlier rally. British Prime Minister Boris Johnson is preparing to extend pandemic restrictions for up to four weeks due to a surge in the delta variant. Meanwhile, investors are also awaiting signals from the Federal Reserve about a timetable for scaling back emergency monetary stimulus that may affect the price of the dollar, and therefore, the price of crude.