China sends the oil price down below $100, remains bid above the $95 price support. The G7 want Russian oil caps to reduce what Russia earns on its oil. Says, that it will bring down inflation. It probably won't, but will have the opposite, driving prices higher. As a counter measure Putin could turn off the gas taps to Europe and drive up electricity costs globally.

Oil has collapsed through its $100 support also known as the Putin 'Put', with the price sitting just above the last remaining price support of $95 at $96, as the war in Ukraine rages on, there is a push and pull of oil prices between China ( 2022 Omicron lockdowns) demand and Russian sanctions.  With the G7 wanting to cap Russian oil prices in the open market and impose insurance conditions on international tankers delivering the oil.   In simple terms the West will dictate the price of Russian oil imports into the global market.   The oil will still flow but at a heavily discounted price, which means, in theory,  the oil price will drop and China, India (net importers of Russian oil) can continue to indulge Russian oil imports at a major discount.  It is akin to the G7 slapping Putin on the hand and saying, 'you can sell your oil, but not what you used to get for it'.   It is one of those hair brain Treasury Department ideas, which looks good on paper, that probably won't work in reality, in fact it may just do the opposite and drive prices through the roof on the back of competing countries (Middle East) either dropping their output to reach higher prices or the big one:  Putin would simply turn off the taps and send the oil/gas price upward, sans being dictated how to price oil via the G7.

The problem with current inflation, which is sticking to everything, simply allowing extra oil onto China and India to quell prices may also have the opposite and adding to import costs to further surge in both those countries, spilling over into up food inflation.

However, Europe and the U.S. have already banned Russian oil, the price cap is another way of trying to drive the price down, the fail safe way is to increase interest rates i.e the U.S. Dollar, with American interest rates at 1.75% amidst, lets call it, stagflation, is ridicules.     

Are we in a Cold War part 2 or not?