Oil prices edge up on supply concerns but post weekly decline

Crude oil prices rose on Friday as looming Iran sanctions revived oversupply concerns, pulling up prices. On a weekly basis, however, crude prices dropped for a third straight week.

At 11 PM Riyadh time, global benchmark Brent crude futures were up 1.13 percent to $77.76 a barrel on London-based ICE Futures Europe Exchange.

On the New York Mercantile Exchange (NYMEX), WTI crude oil futures rose 0.52 percent to $67.68 a barrel.

A day before also (on Thursday), Brent crude oil futures prices rose 72 cents to settle at $76.89, while WTI futures rose by 51 cents to settle at $67.33 a barrel.

“Commodities remain in a consolidation phase with both gold and oil trading sideways for the past 48 hours,” said Konstantinos Anthis, Head of Research at ADS Securities.

“Oil still trades on either side of the $67 level looking for direction; a new leg lower will target the $64.50 area while the resistance to the upside stands around the $68.50 level,” he added.

Last week, Saudi Arabia pledged to raise output to meet any shortfall caused by upcoming Iran sanctions.

At the just concluded, Future Investment Initiative (FII) 2018 conference in Riyadh, Saudi Energy Minister Khalid Al-Falih said that the country could raise oil output to stabilize the market.

“We don’t rule out the Kingdom’s oil output will exceed the current level by 1-2 bpd going forward,” he said in a panel discussion, adding, “We’ll need to make judicious use of our spare capacities", he said.