Crude oil prices declined sharply on Tuesday amid rising worries about outlook for energy demand due to new restrictions on travel following a surge in coronavirus cases.

Despite the rollout of a vaccine, worries about virus infections continue following the detection of a new variant of coronavirus in the U.K.

West Texas Intermediate Crude oil futures for February ended down $0.95 or about 2% at $47.02 a barrel.

Brent crude futures slid $0.83 or 1.6% to $50.08 a barrel.

The U.S. Congressional nod to a $892 billion coronavirus aid package helped limit oil’s slide.

Oil prices fell amid worries about a likely drop in energy demand due to the rapidly-spreading new coronavirus strain that has prompted several countries to close their borders to Britain.

More than 40 countries have banned U.K. arrivals amid fears over the coronavirus mutation that was first identified in Britain.

German pharmaceutical company BioNTech said it was “highly likely” that its vaccine against the coronavirus works against the new virus variant detected in Britain.

“Scientifically, it is highly likely that the immune response by this vaccine also can deal with the new virus variant,” said Ugur Sahin, the co-founder of the company.

The material has been provided by InstaForex Company – www.instaforex.com

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