The recent resurgence in Covid-19 infections in many parts of the world led not just to a slump in oil prices but growing pessimism about the prospects of oil demand. However, some recent news has reversed the sentiment, with optimism pushing prices higher again. Perhaps the biggest news was the Food and Drug Administration’s granting full approval of the Pfizer/BioNTech vaccine this week. The approval sparked hopes that vaccine hesitancy in the United States would diminish now, which would in turn potentially encourage more fuel demand. In further good news for oil, China reported zero new Covid-19 cases this week after clamping down on several local outbreaks. As the world’s largest oil importer, China is a weathervane for oil prices, and this week, the weathervane is pointing towards more oil demand. A weaker U.S. dollar contributed to the positive sentiment as it is usually conducive to stronger oil demand, […]