Brent crude rose $2.11, or 1.79%, to settle at $119.72 a barrel. US West Texas Intermediate (WTI) crude rose $2, or 1.71%, to $118.87.
WTI registered its sixth weekly gain due to the scarce supply in the United Stateswhich generated the debate to stop fuel exports or to apply a tax to oil and gas producers.
The increase in production could be less than promised amount since OPEC + divided the rise among its members and included Russia, whose output is falling due to sanctions and because some buyers avoid their crude due to the invasion of Ukraine.
A weekly inventory report on Thursday showed US crude stockpiles fell by 5.1 million barrels, more than expected, and gasoline inventories also fell, underscoring tight supply.
“Demand is also increasing. China’s financial hub Shanghai and the capital Beijing relaxed Covid-19 restrictions and the Chinese government promised to stimulate the economy.”operators said.
Oil held gains after US data showed employment rose more than expected in May, signs of a strong labor market that could lead to more aggressive monetary policy by the Fed.
Source: Ambito
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