The Energy Report: Locked Inside – Investing.com

The Energy Report: Locked Inside – Investing.com

Omicron is still wrecking havoc with the global economy and global oil demand. Reports that China is telling people in the Xian province that they have to stay indoors is not helping matters. That is particularly true after more than 2,400 flights were canceled by U.S. airlines as COVID-19 reduced the number of available crews while several cruise ships had to cancel stops according to reports and others adjusted their holiday plans.

Data tracker FlightAware.com shows U.S. flight cancellations exceeded 2,400 in just the past 48 hours. MarketWatch is reporting that airline stocks are broadly lower as COVID cases spike and has led to even more like cancellations.

Still, we should get some back door support from reports that the Chinese central bank pledged more stimulus for the “real economy.” China said it will make monetary policy more forward-looking and targeted, amid expectations of easing as a property-sector slowdown saps economic growth according to Bloomberg. We may also get some support from the fact that the UK Prime Minister Johnson said he is not expected to introduce new COVID limitations.