Oil Updates — Crude edges up; IEA says China’s COVID-19 reopening to push oil demand

Oil Updates — Crude edges up; IEA says China’s COVID-19 reopening to push oil demand

RIYADH: Oil prices rose on Wednesday, extending the previous session’s gains, driven by optimism that the lifting of China’s strict COVID-19 curbs will lead to a recovery in fuel demand in the world’s top oil importer. Brent crude futures firmed 76 cents, or 0.88 percent, to $86.68 a barrel by 10.00 a.m Saudi time, following a 1.7 percent rally in the previous session. US West Texas Intermediate crude futures rose 87 cents, or 1.09 percent, to $81.05, having risen 0.4 percent on Tuesday. The lifting of COVID-19 restrictions in China is set to boost global oil demand this year to a new record high, the International Energy Agency said on Wednesday, while price cap sanctions on Russia could dent supply. "Two wild cards dominate the 2023 oil market outlook: Russia and China," the Paris-based energy watchdog said in its monthly oil report. "Russian supply slows under the full impact of sanctions (while) China will drive nearly half this global demand growth even as the shape and speed of its reopening remain uncertain." Weak industrial activity and mild weather helped cut oil demand by nearly a million barrels per day in the OECD-developed countries in the last quarter of 2022. But