Crude oil futures closed significantly lower on Friday with losses of over 2% amid fears of a global economic slowdown that could lead to lower energy demand, as major central banks indicated interest rates will continue to rise and remain elevated next year. Also, the surge in Covid cases in China weighted down on oil futures. Besides, prices got dampened amid reports that U.S. Strategic Petroleum Reserve would loan out 2 million barrels to domestic energy companies to relieve any supply shortage caused by the Keystone pipeline's closure.
Benchmark crude oil futures for January delivery declined $1.82 or 2.4 percent at $74.29 a barrel on the New York Mercantile Exchange. Brent crude for February delivery fell $2.17 or 2.7 percent to settle at $79.04 (Provisional) a barrel on London's Intercontinental Exchange.
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