Brent and WTI were each on track to fall about 2% for the week as signs of a growing global supply surplus and softening U.S. demand weighed on prices. Brent was at $95.77 a barrel and WTI at $88.57.
Oil prices sagged on Friday, with Brent down 5 cents to $95.77 a barrel and U.S. West Texas Intermediate down 17 cents to $88.57. Both benchmarks were on track for a weekly decline of around 2%, following drops of 16% for Brent and 13% for WTI the previous week.
Signs of a rising global oil surplus and lower geopolitical risk weighed on the market. An International Energy Agency report pointed to an increase in the surplus, while analyst Phil Flynn said the market’s biggest concern had shifted from a shortage to a surplus.
Analyst Sugandha Sachdeva said signs of softening U.S. demand were also weighing on prices, as crude and fuel inventories rose on weaker refined-products demand and higher oil imports. Risks to shipments through the Strait of Hormuz remained, with Iran’s military reporting explosions on four tankers and Yemen’s Houthis claiming attacks on Saudi oil infrastructure; the tanker accounts could not immediately be verified.
