Oil price tops $75 amid ease in Omicron COVID-19 variant concerns

The global oil price climbed above $75 per barrel on Friday amid ease in concerns that the travel restrictions instigated by the Omicron variant of COVID-19 could lead to a market glut.

The steady rise is coming a week after the Organisation of Petroleum Exporting Countries (OPEC) and its allies retained its plans to increase oil output by 400,000 barrels per day in January 2022.

At 2:16 PM, Brent crude futures, an international oil benchmark, rose by 0.95 percent to $75.13 per barrel while the U.S. West Texas Immediate (WTI) rose by 1.06 percent to $71.69 per barrel.  

An OPEC source told Reuters that “the market has taken the decision well”.

“The variant news made for short-lived negative sentiment, with no clear evidence,” the source said.

In November, the price dropped from $84 per barrel amid a new coronavirus variant and the U.S. increased release of oil from strategic reserves.