(Bloomberg) -- Oil rose for the first time in three days on optimism China's reopening will buoy demand, and as investors assessed the implications of the price cap imposed on Russian crude.
Most Read from Bloomberg
'Huge, Missing and Growing:' $65 Trillion in Dollar Debt Sparks Concern
Stocks Hit by Fed-Hike Jitters as US Yields Surge: Markets Wrap
Ambitious Plans to Build Indonesia a Brand New Capital City Are Falling Apart
Elon Musk's Impossible Electric Truck Is Getting the Last Laugh
Blasts Hit Russia Air Bases as Kremlin Renews Ukraine Strikes
West Texas Intermediate climbed above $77 a barrel following a roller-coaster session on Monday, when a broad shift away from risk assets saw prices close down 3.8% after earlier gains. The initial advance was driven by signs China, the world's largest crude importer, was continuing to ease Covid curbs.
The market is weighing the long-term impact of the latest round of restrictions placed on Russian crude by the European Union and Group of Seven to punish Moscow for the war in Ukraine. These include limits on insurance and a $60-a-barrel cap on Russian oil. So far, although some ships are stuck near Turkey in part due to the changes, there's been no widespread disruption.
Oil has rebounded since hitting the lowest level since late 2021 last week as demand prospects brightened, especially in China. Authorities have been gradually scaling back virus restrictions following rare protests. That contributed to a decision by the Organization of Petroleum Exporting Countries and its allies to stand pat on output policy at the weekend.
Elements, Bloomberg's daily energy and commodities newsletter, is now available. Sign up here.
Most Read from Bloomberg Businessweek
11 Hours With Sam Bankman-Fried: Inside the Bahamian Penthouse After FTX's Fall
The Club With a 60,000-Woman Waitlist
TikTok's Viral Challenges Keep Luring Young Kids to Their Deaths
How to Cash Out of a Small Business Without Selling Out
Can Duolingo Actually Teach You Spanish?
©2022 Bloomberg L.P.