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Oil Falls to February Levels on Worsening China Demand Outlook

  • Shanghai reports daily record of new virus cases on Sunday
  • U.S. benchmark drops to lowest intraday price since Feb. 25
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Shanghai Covid Cases at Record High
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Oil fell as China’s largest Covid-19 outbreak in two years heightens concerns about demand from the world’s biggest crude importer.

West Texas Intermediate dropped 4% to settle just over $94 a barrel, the lowest level since late February. Virus cases are rising in Shanghai, with millions under lockdown and no clarity on when restrictions will be lifted. The uptick in cases has disrupted port operations and prompted some refiners to trim crude-processing rates.