Oil is declining, but it is hovering near the highest level in 2023

Oil prices fell in early Asian trade on Monday, but held near their highest levels since the beginning of the year amid optimism that demand for fuel will increase in China, the world’s largest crude importer, after the reopening of borders and the easing of restrictions imposed to combat Covid.

Brent crude fell 36 cents, or 0.4 percent, to $84.92 a barrel by 0116 GMT, while US West Texas Intermediate crude was $79.65 a barrel, down 21 cents, or 0.3 percent, amid thin trading during a public holiday in the United States.

Both benchmarks rose more than 8% last week, the biggest weekly gains since October, after China’s crude imports rose 4% year-on-year in December, while a boom in Lunar New Year travel boosted demand expectations. on fuel.

Trade sources and analysts said a rebound in domestic demand is expected to lead to a 40 percent drop in China’s exports of refined petroleum products in January compared to December.