Oil – a barrel rises but ends the week with losses due to concerns about the economy

(expand with closing prices)

Written by Shadia Nasrallah

LONDON (Reuters) – Oil prices rose on Friday after data showed slowing production in the United States and boosting demand for fuel, largely offsetting pessimism about the economic outlook.

* Brent crude futures for June delivery rose $1.17, or 1.49%, to $79.54 a barrel. Brent crude, which fell 2.6% for the week, also posted its fourth consecutive monthly decline.

– US West Texas Intermediate crude rose $2.02, or 2.70 percent, to $76.78 a barrel. The contract posted its sixth consecutive monthly decline and lost 1.4% for the week.

* Data from the Energy Information Administration this week showed that US crude oil and gasoline inventories fell more than expected last week as fuel demand increased ahead of the peak northern summer driving season.

* Data on Thursday showed US economic growth slowed more than expected in the first quarter.

* Investors are concerned that central banks may raise interest rates as they fight inflation, which could slow economic growth and reduce energy demand in the United States, United Kingdom and European Union. The next monetary policy meeting of the US Federal Reserve will be held on May 2-3.

* On the supply side, Russian Deputy Prime Minister Alexander Novak said Thursday that the OPEC+ group of producers sees no need for further production cuts despite lower-than-expected Chinese demand.

The Organization of the Petroleum Exporting Countries (OPEC) and its allies, including Russia, known collectively as OPEC+, this month cut their combined production target by about 1.16 million barrels per day, sending oil prices higher.

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(Reporting by Shadia Nasrallah; Additional reporting by Yuka Obayashi in Tokyo and Jeslain Leire in Singapore; Editing in Spanish by Manuel Farias/Marion Giraldo)

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