Brent Crude Oil Rebounds, Rises to Near $113 Per Barrel, Volatility Increases Likely

            Crude oil prices recovered and surged in a tumultuous trading day on Tuesday, even as Ukraine and Russia headed for peace talks and demand worries remained as China shut down its financial centre in Shanghai to combat the coronavirus outbreak.

While the benchmark Brent crude oil price dipped early on Tuesday, extending losses from the previous session, it recovered and was last up roughly 0.4% to trade at $113 a barrel after plunging as low as $109.97 a barrel.

Nonetheless, US oil futures were down more than 0.4% to approximately $105.5 per barrel after touching a low of $103.46.

Oil prices declined on Monday as a two-day lockdown in Shanghai overshadowed fears about a nine-day supply shortage that was expected to impact gasoline consumption in China, the world’s top oil importer. Ukraine and Russia, on the other hand, were scheduled to meet in Istanbul on Tuesday for their first peace talks in almost two weeks. On Thursday, the Organization of the Petroleum Exporting Countries (OPEC) and its partners, known as OPEC+, will convene.