Brent rises over 5% amid focus on Omicron and Iran talks

Brent prices jumped nearly 5% as the US market opened on Monday, within recovery from a 2-month low, amid focus on the new coronavirus variant Omicron, and the upcoming Iranian nuclear talks in Vienna.

Brent crude rose 5.0% to $76.44 a barrel, after opening at $72.86, and hit a high at $72.86.

Brent fell 11.5% on Friday, the largest daily loss since April 2020 and hit the lowest level since September 10 at $72.14.

The worst daily loss in 2021 came due to global demand fears after a new coronavirus variant emerged, which the scientists call Omicron.

South Africa discovered the omicron variant last week, which led countries to re-impose travel restrictions to prevent the new variant, but these measures seem inefficient in preventing the rapid spread of infection..

The risks are that Omicron is highly resistant to current vaccines, with cases already reported in the UK, Germany, Canada, Australia, and Hong Kong, which raises fears over the speed of the spread and the current vaccines ability to prevent it.

BioNTech said on Friday that it'll know in just two weeks whether its vaccine is capable of protecting people from the new Covid19 variant. 

The OPEC+ alliance postponed its monthly meeting by several days, to have more time to assess the impact of Omicron on global fuel demand.

The alliance will meet on Thursday instead of Tuesday, to decide on adjusting or keeping the plan to increase output by 400,000 barrels per day in January.

Energy experts believe the alliance may pause the increase, especially after major countries decided to tap their strategic fuel reserves, and the Omicron impact on global demand.

Talks on reviving the 2015 Iran nuclear deal will resume later today in Vienna, as world powers try to bring the US and Tehran to fully comply with the agreement.