Investing.com – Trade war, which weakens global growth and uncertainty about how quickly Venezuelan sanctions will bite, all come to celebrate oil recovery.
The New York-traded West Texas Intermediate Crude settled modestly higher on Friday, but lost almost 5% a week. The London Brent oil also rose during the day and fell the week when the United States and China missed an opportunity to hold a summit to settle their trade war before 1 March.
Stressing euro area economies, the slow burning crisis in Venezuela and a volatile US rig count were other factors that pushed the prospects for oil.
settled up 8 cents, or 0.2%, on the day of $ 52.72 per barrel. For the week, it fell 4.6%, the steepest weekly decline so far, despite scaling November's $ 55.75 earlier this week.
The global oil reference level was up 40 cents, or 0.7, to $ 62.03 per barrel at 3:25 pm ET (20:35 GMT). For the week, it was down 1
Weekly reading on the US oil rig issued by industrial company showed an increase of 7 units to 854. Last week, that figure fell by 14 and took the count to a nine month low of 847. Analysts said rig grants could multiply if WTI prices were not far from $ 55 a barrel.
The crude prices came under renewed pressure this week after US President Donald Trump said it would not be discussed between him and Chinese President Xi Jinping before the deadline for a trade agreement on March 1, giving new worries about trade tensions between the world two. largest economies. Last week, Trump suggested that he sit with Xi at the end of February, but on Thursday he ruled out such a meeting.
Lower EU growth forecasts from earlier in the week had increased the fear of a global economic downturn.  In Venezuela's case, two weeks after opposition leader Juan Guaido declared himself temporary president as opposed to incumbent Nicolas Maduro, the standoff between the two has settled in a kind of stasis. While thousands of countries have recognized Guaido, Maduro continues to control the Venezuelan state apparatus, including the military.
"For now, the competing presidents seem to be patterned allies and are trying to determine their next move, and a long-term deadlock is likely," New York-based consulting firm Energy Intelligence said in its weekly note.
The Stalemate also means that the sanctions imposed on the Trump administration on the Maduro-controlled PDVSA oil company have had limited impact on the raw prices so far.
Trump reckons Saudi Arabia's help in filling any oil supply gap caused by the sanctions on PDVSA while attempting to prevent the Saudi-controlled petroleum exporting organization from formalizing a pact with Russia that would lift the crude prices.
A two-tiered group of US senators has put together a bill for the Ministry of Justice to sue members of OPEC for antitrust violations if the cartel attempts to formalize its oil co-operation with CT.
At the same time, refiners on the Gulf Coast of the United States, pressured by the absence of Venezuelan oil, have been told by White House officials that they should not expect a raw gas spill from the strategic petroleum reserve. After referring to a source of administration, Energy Reporting Services reported Platts on Thursday that officials are "sure" that the Saudis will increase crude exports to the US in the coming weeks.
What makes the US position remarkable, Platts points out, that Saudi officials have indicated no plans to make up for a lack of Venezuelan supply, as the OPEC cartel under their control has sharply cut production to increase prices.