WTI crude and Brent deepend declines early in the session reaching levels not seen since end of December 2021, however buyers become more active on news that at least 20 tankers carrying Russian oil faced delays in crossing to the Mediterranean from Russia's Black Sea ports in Novorossiisk due to the storms.
Also hopes of resumption of demand from China provided some fuel for the bulls. Recently Beijing announced relaxation of some covid restrictions and today President Xi signaled willingness to increase crude oil trade with Saudi Arabia, according Xinhua News Agency. Elsewhere TC Energy declared a force majeure on the Keystone oil pipeline.
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OIL.WTI is attempting to erase some of the recent losses as sellers failed to break below key support at $71.00. As long as the price sits above, upward correction may be launched. First resistance to watch lies at $73.60. However taking into consideration the gloomy outlook for the global economy, further declines cannot be ruled out. Should break below the aforementioned support occur, the next target for sellers can be found around the $68.00 level. Source: xStation5
