Crude oil plummets below $100 a barrel as global demand slows

Oil has given up most of the gains seen since Russia invaded Ukraine in late February following a tumultuous period of trading.

Last week, the International Energy Agency announced that US allies will deploy 60 million barrels from stockpiles, bolstering the 180 million-barrel release announced previously by US President Joe Biden. 

Global oil prices resumed their declines as China’s largest Covid-19 outbreak in two years heightens concerns about demand from the world’s biggest crude importer. Brent crude dropped plummeted $4.22 to below $98.60 a barrel, touching the lowest level since late February. 

Virus cases are rising in Shanghai, with millions under lockdown and no clarity on when restrictions will be lifted. The uptick in cases has disrupted port operations and prompted some refiners to trim crude-processing rates.