Oil headed for its biggest weekly gain since early April as flaring tension in the Middle East took precedence over an escalating trade war between the world’s two biggest economies.
Futures in New York gained as much as 0.8% Friday and are up 2.3% so far this week. Saudi Arabia on Thursday accused Iran of ordering a drone attack on its fuel pumping stations this week. President Trump is wary of drawing the U.S. into a war with Iran, although there’s division in his administration over how to approach the Islamic Republic, according to people familiar with the matter.
West Texas Intermediate crude for June delivery rose 23 cents, or 0.4%, to $63.10 a barrel on the New York Mercantile Exchange at 12:11 p.m. in Singapore. The contract settled 1.4% higher on Thursday and has advanced 2.3% since May 10, on track for the biggest gain since the week ending April 5.
Brent for July settlement added 18 cents, or 0.3%, to $72.80 a barrel on the London-based ICE Futures Europe exchange after closing 1.2% higher on Thursday. It’s up 3.1% so far this week. The global crude benchmark traded at a $9.53 premium to WTI for the same month.
Source : Bloomberg