Oil fluctuates as Putin warns of consequences to price cap amid demand concerns – The National

Oil fluctuates as Putin warns of consequences to price cap amid demand concerns – The National

Oil prices fluctuated on Wednesday as demand concerns continued to rise despite supply constraints after President Vladimir Putin said Russia would not supply oil and fuel if price caps on the country's exports are carried out as planned by the Group of Seven countries.

Brent, the benchmark for two thirds of the world's oil, was trading 4.75 per cent lower at $88.42 per barrel at 10.21pm UAE time. West Texas Intermediate, the gauge that tracks US crude, was down more than 5 per cent, at $82.37 a barrel.

Oil prices had plunged to their lowest point since January in early trading on Wednesday. The slide came as the US dollar rallied to record levels and demand concerns grew after China, the world's biggest energy importer, imposed strict movement restrictions to contain a resurgence in Covid-19 infections.