By Gina Lee

Investing.com – Oil was up Monday morning in Asia, as fears over the omicron COVID-19 variant’s impact on the economic recovery and fuel demand continue to ease.

By 10:26 ET, $76.29 had risen 1.52% (3:26 GMT), and was up 1.59% to $72.81. Brent and WTI futures both gained around 8 percent last week. This was the seventh weekly gain.

Market sentiment is improving as the Omicron threat has subsided. WTI futures may test the $73.34 high and then move towards $78, as it did before Omicron worries led to a sell-off that occurred in November. Toshitaka Tazawa from Fujitomi Securities Co Ltd. told Reuters.

While scientists continue researching omicron, U.K. Prime Minister Boris Johnson warned that the U.K. could face a “tidal wave” of omicron infections.

Investors remained cautious due the U.S.-led coordination release of crude reserves and tensions between Russia, Ukraine.

U.S. Department of Energy announced Friday that it would sell 18,000,000 barrels of crude oil (SPR), from its strategic petroleum reserves on Dec. 17 in continuation of its efforts to lower gasoline prices.

On the geopolitical front, the Group of Seven warned Russian President Vladimir Putin that there would be “massive consequences” should Russia attack Ukraine. According to U.S intelligence, Russia may be planning to launch a multifront attack on Ukraine by next year. It could involve up to 175,000 soldiers.

Ihsan Abdul Jabbar from Iraq, the oil minister for the country, said that the Organization of the Petroleum Exporting Countries (OPEC) will maintain its current supply-side policy of increasing the quantity by 400,000 bpd each month at the next meeting of the Organization in January 2022.