Crudeoil futures headed higher on Monday, finding support after suffering from their largest weekly loss since October.

Worries over renewed lockdowns and a sluggish vaccine rollout in parts of Europe continued to dog energy markets but oil already priced in a lot of COVID worries last week with a dramatic selloff, said Phil Flynn, senior market analyst at The Price Futures Group. Traders are realizing that it might not be as bad as feared.

AstraZeneca said Monday that its COVID19 vaccine was shown to be safe and 79 effective in preventing symptomatic disease in finalstage U.S. clinical trials. That paves the way for the vaccine to be submitted to the U.S. regulator.

Questions around the safety of the vaccine had led its suspension in parts of Europe, raising expectations for an economic slowdown what would hurt energy demand.

Still, there is some residual pessimism in the market as Europe, instead of finally opening open, is seeing pockets of increased Covid19 cases, forcing many European countries to reinstate or extend lockdowns, wrote Louise Dickson, oil markets analyst at Rystad Energy, in a Monday research note.

If vaccination campaigns continue to face challenges going forward, 2021 may see up to 1 million barrels of oil demand per day not recovering this year, compared with a smooth recovery scenario, she said. It is still early to judge and we have to see how quickly campaigns progress.

West Texas Intermediate crude for April delivery  rose 6 cents, or…