(London) Oil prices were struggling to get off on the right foot on Monday after a week of sharp decline, with the strength of COVID-19 in Europe hovering over demand for black gold.
At around 5:50 a.m., the price of a barrel of Brent from the North Sea for January delivery fell 0.13% to $ 78.79.
In New York, a barrel of West Texas Intermediate (WTI) for the same month, of which it is the first day of use as a benchmark contract, lost 0.14% to 75.83 dollars.
The two benchmark prices on either side of the Atlantic signed their worst week since the end of August on Friday, dropping 4% and 5.8% respectively.
The market is groping “in a context of growing concern for demand,” said XTB analyst Walid Koudmani.
In Europe in particular, which has once again become the epicenter of the COVID-19 pandemic, the return of drastic measures such as confinement in Austria poses the risk of a brake on the consumption of black gold.
At the same time, the United States and Japan “are putting pressure on producers to increase production and respond to current inflationary concerns,” continues Mr. Koudmani.
A possible drain by the US administration of the country’s strategic reserves, which struggles with persistent inflation fueled by high energy prices, has also been on the table for several weeks.
In this context, the next meeting of members of the Organization of the Petroleum Exporting Countries (OPEC) and their OPEC + allies on December 2 is eagerly awaited by the market.
This summit will allow the cartel led by Saudi Arabia and Russia to rule on the offer early next year.
A healthy US dollar also increased pressure on crude prices, making it more expensive for investors with other currencies.