Oil prices fell close to a three-month low on Friday, dragged down further by fears of weak demand. The proximate driver is the coronavirus in China, which is raising concerns about a hit to the economy and slower oil demand growth. “One should be prepared for negative surprises when it comes to Chinese demand given that the government has now widened the coronavirus quarantine to ten cities in Hubei province with a total population of 30 million people,” Commerzbank said in a note. “The impact of this is all the greater because the restrictions are being imposed during the busiest travel season for the Chinese.” The coronavirus could cut into demand by around 260,000 bpd and reduce oil prices by about $3 per barrel, according to a report from Goldman Sachs. However, in the days following the publication of that estimate, oil prices fell by even more than $3. […]