Oil prices rise over $1 as US inventories decline

Oil prices rose for the second straight day on Friday, as data showed a draw in US inventories, but were heading for a weekly loss amid uncertainty over global supplies after an Opec+ impasse. Brent crude oil futures were trading at $76.10 a barrel, at the time of going to press. US West Texas Intermediate futures were up $1.41, or 1.9 per cent, at $74.35.

Prices on both sides of the Atlantic were on track for around a 1 per cent weekly drop, dragged down by the collapse of output talks between the Organization of the Petroleum Exporting Countries (Opec) and allies including Russia, together known as Opec+.

US crude and gasoline stocks fell and gasoline demand reached its highest since 2019, the US Energy Information Administration said on Thursday, signalling increasing strength in the economy.

“A bullish EIA stock report helped the oil market rebound into the black,” said Stephen Brennock of oil broker PVM.