Brent is falling amid declining trading just before Christmas, but is still expected to end the week with a positive sign, amid indications that Omicron will have a less serious impact than previous executives.
Brent in London fell 0.7% to $ 76 a barrel. While Omicron has led to travel restrictions and an increase in cases, a British health service has said the mutation is less likely to lead to hospitalization than Delta.
Oil is heading for annual profits following a strong recovery from the pandemic, but the rally has slowed recently, in part because of concerns about Omicron.
There are some signs of a tightening, however, with production cuts in Libya and Nigeria, while demand outlook has been boosted in recent days by positive news of Omicron’s seriousness.
“If the news confirms that Omicron will be fast and furious, and not going to be so dangerous, then that could prove to be quite positive for the course of oil next year,” said Francisco Blanch of Bank of America.