U.S. crude rose to $71 a barrel on Friday in a risk-averse mood, while futures are still losing around 3 percent over the course of the week. OPEC+ met over the weekend to discuss the group’s production policy amid the stagnant economic recovery from China despite the end of its Zero Covid policy.
Most market watchers expect OPEC+ to keep production levels unchanged, but the group announced surprise cuts in April, and Saudi Arabia’s energy minister recently warned speculators to “be careful”. Crude oil has dropped nearly 13 percent this year, in part due to durable crude exports from Russia.
Stock markets across Asia rose on Friday as concerns over further rate hikes by the Fed eased, and news that Congress passed legislation to prevent the US from defaulting added to the positive mood.
U.S. crude inventories increased by nearly 4.5 million barrels last week, while supplies at the main storage center in Cushing, Oklahoma rose for a sixth week, according to Energy Information Administration data released Thursday.