by Zhang Mengying
Investing.com – Oil prices rose Tuesday morning in Asian markets. as concerns about tight supply increase
It was up 0.97% to 115.24 as of 12:07 AM ET (4:07 AM GMT) and up 1.99% to $110.14.
Investors are worried about tight supply as Western sanctions remain on Russian oil. The market still has questions. Russian production will be reduced because of sanctions on equipment needed for production. analyst said
“The market remains cautious about the disruption of Russian oil. because of European sanctions,” ANZ Research analysts said in a note.
Analysts say markets are underestimating the tension between supply concerns and uncertainty about global growth figures in the face of rising inflation and interest rates. China also recorded new cases of the COVID-19 outbreak in cities including Shenzhen. which has raised concerns about declining oil demand.
“It’s the kind of tension we’re going to see for the rest of the year,” said Justin Smirk, senior economist at Westpac.
“There is fear that the economy will recession. But the truth is we can still recover,” Smirk added.
Investors are awaiting the report. from the American Petroleum Institute which is due for delivery the next day