New cases in Shanghai fell by 50.7% in the past 24 hours, dropping to 1,487 infections - the lowest in 18 days. Adding to that is zero community spread infections being reported in 8 districts, raising hope that the city will be able to escape tighter restrictions that have been in place for about six weeks already.
Now, one day doesn't make a trend but if things continue down this path over the next few days then it might be enough to get markets a fair bit more optimistic again. That especially if we do see a 'peak inflation' narrative come about after the US CPI release later today.
In any case, oil is finding reason to capitalise on the China developments already with WTI crude up over 2% to just above $102:
