By Robert Harvey
London (Reuters) -Ol prices were stable on Friday after more than 1% loss in the previous season, as investors weighed the low potential for Ukraine War that could bring back more Russian energy supply to the western markets.
After decreasing by 1.5% in the previous season, Brent crude futures were 26 cents, or 0.37%, 1322 GMT at $ 70.14 per barrel. The US West Texas Intermediate crude was $ 66.80 per barrel, 25 cents, or 0.38%, after 1.7% shutdown on Thursday.
Prices are determined to be more or less stable than last Friday, when Brent settled at $ 70.36 and $ 67.04 on WTI.
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“Brent Oil has hovering around the $ 70 mark for the last two weeks. Whether it will stay at this level in the coming week, it depends on the political news situation, ”a note said in a note by Commerzbank.
Russian President Vladimir Putin said on Thursday that Moscow in principle supported an American proposal for a ceasefire in Ukraine, but demanded several clarifications and conditions that appeared to rule from a quick end for the fight.
IG market analyst Tony Psychomore said, “Russia’s Tipid support of the 30-day ceasefire with Ukraine has reduced confidence around a ceasefire in a short term.”
Increasing pressure on Putin to come on a peace agreement in Ukraine, the Trump administration said on Thursday that a license ended this week that allows energy transactions with Russian financial institutions.
The Chinese state firms are also curbing Russian oil imports at the risks of restrictions, sources told Reuters.
China and Russia stood from Iran on Friday after the United States demanded a nuclear dialogue with Tehran, saying that dialogue with senior Chinese and Russian diplomats should resume only on the basis of “mutual honor” and all restrictions should be lifted.
ANZ analysts said to customers in a note, “Most value estimates were negative aspects in short -term, but geo -political stress can still cause supply disruption.”
The International Energy Agency warned on Thursday that the supply of global oil could exceed the demand of about 600,000 barrels per day this year due to an increase in the leadership of the United States and weakening from the expected global demand.
Unstable macroeconomic conditions due to increasing trade tension between the US and other countries inspired the IEA to cut its demand growth estimates for the last quarter of 2024 and the first quarter of this year.
Commerzbank analysts said, “The high risk on the demand side and the increase in supply from OPEC+ leads to a debate against continuous recovery in oil prices.”
(Reporting by Robert Harvey in London, Florence Tan in Singapore; Mark Potter)
Disclaimer: This report is an auto generated from Reuters News Service. ThePrint does not have any responsibility for its content.