Oil Rises as Chinese Economic Assurances Ease Demand Concerns
- Authorities have expanded virus testing to most of Beijing
- Nymex ultra low-sulfur diesel futures signal extreme tightness
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Oil climbed as Chinese central bank assurances of economic support eased fears that a new round of virus lockdowns will crimp crude demand. Diesel markets also spiked amid a global clamor for supplies.
West Texas Intermediate settled above $101 a barrel after shedding more than 5% in the previous two sessions. China’s central bank pledged to ensure ample liquidity and assist sectors battered by the pandemic even as virus testing expanded in Beijing. The resurgence of Covid-19 has hammered fuel consumption in the world’s second-largest economy.