Oil prices increased on Friday due to indications that inflationary pressures are easing in
the United States, the world’s largest oil consumer.
Brent crude futures increased by 33 cents, or 0.4%, to $85.73 per barrel by 0300 GMT.
U.S. West Texas Intermediate (WTI) crude futures increased by 46 cents, or 0.6%, to $83.08
per barrel.
Despite gains in the last two sessions, both contracts are poised for weekly declines, with
Brent futures expected to fall by about 1% week-on-week and WTI futures expected to dip
by 0.1%.
Investor confidence was boosted by data showing that U.S. consumer prices fell in June,
which could lead to interest rate cuts by the Federal Reserve in the near future.
Strong summer fuel demand in the U.S. is also supporting the increase in prices, with U.S.
gasoline demand at 9.4 million barrels per day in the week ended July 5, the highest since
2019.
Brent crude futures rose by 0.4% to $85.73 a barrel by 0300 GMT.
US West Texas Intermediate crude futures increased by 0.6% to $83.08 a barrel.
Brent futures were set to fall about 1% week-on-week following four weeks of gains.
WTI futures were broadly stable on a weekly basis, set for a 0.1% dip.
Investor confidence was boosted after data on Thursday showed US consumer prices fell
in June.
US gasoline demand was at 9.4 million barrels per day in the week ended July 5, the highest
for the week that includes the Independence Day holiday since 2019.
Jet fuel demand on a four-week average basis was at its strongest since January 2020.
