The global oil price fell more than 5 percent on Monday as concerns over low energy demand surged due to the rapidly spreading Omicron variant of the coronavirus.

North Sea Brent crude fell 5.1 percent in the morning to $ 69.79 a barrel, while West Texas Intermediate New York crude fell 5.7 percent to trade at $ 66.84/barrel.

Omicron’s rapid spread has led to dampening sentiments at the oil market – and the broader global stock market – for fears of an impending economic slowdown as countries return to COVID related restrictions.

Travel restrictions have been increased across Europe and additional measures may be announced in the coming days. Thus, oil market is anticipating a bearish sentiments across oil, energy and travel stocks.

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