SULAIMANI (ESTA) — Oil prices edged lower on Monday on concerns about excess supply after Japan said it was weighing releasing oil reserves and over demand from a worsening coronavirus situation in Europe.
Brent crude futures lost 14 cents to $78.75 a barrel as of 0541 GMT and U.S. West Texas Intermediate (WTI) crude futures were down 6 cents at $75.88 per barrel.
Japanese Prime Minister Fumio Kishida signaled on Saturday he was ready to help counter soaring oil prices following a request from the United States to release oil from its emergency stockpiles.
“We’re proceeding with consideration as to what we can do legally on the premise that Japan will coordinate with the United States and other countries concerned,” Prime Minister Kishida told reporters.
Meanwhile, concerns are growing that renewed coronavirus curbs could hit demand, according to Reuters.
Germany warned on Friday it may need to move to a full lockdown after Austria said it would reimpose strict measures to tackle rising infections.
“Austria imposed a lockdown earlier this month, while Germany is poised to agree on mandatory remote working,” Reuters quoted ANZ as saying.
“In Ireland and the Netherlands, people have already been instructed to work from home where possible. This comes amid the prospect of releases of oil from strategic reserves in China and the U.S.”
