WTI crude futures climbed more than 2% to above $71 per barrel on Tuesday, extending a near 5% rebound in the previous session as concerns about the Omicron variant and its impact on global growth and fuel demand eased.

Oil prices recently suffered steep losses amid uncertainties around the new variant and its economic implications, coupled with the release of emergency reserves by major oil-consuming nations.

However, a South African health official reported over the weekend that Omicron cases had only shown mild symptoms, while top US infectious disease official Dr. Anthony Fauci said that the initial data on the new variant was “encouraging.”

Moreover, top exporter Saudi Arabia raised Asia and US-bound monthly crude prices on Sunday. Elsewhere, a delay in the return of Iranian oil also lifted sentiment as indirect US-Iran nuclear talks hit roadblocks.

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