Oil fell with equities and other risk assets as the Covid-19 omicron variant’s rapid spread revived concern about more government restrictions and the potential hit to fuel demand. Futures in New York closed down 2% on Thursday, with the S&P 500 also declining. Lockdowns and other measures aimed at containing the new strain are increasingly casting a shadow over the outlook for consumption, and recent data show omicron is 4.2 times more transmissible than the delta variant. “The market is still in calibration mode around the virus,” said Rebecca Babin, senior energy trader at CIBC Private Wealth Management. Though traders initially priced in the worst-case scenario for omicron, they later “underestimated” how governments would respond to the contagiousness of the variant, she said. Concerns about demand from Asia were also weighing on the market. Buyers in the region aren’t seeking extra supplies from Saudi Arabia after the kingdom hiked […]