FX.co ★ Brent Set for Weekly Gain

Brent crude oil futures approached $63 per barrel on Friday, building on gains from the previous session and poised for a weekly increase. The optimism stemmed from anticipated progress in US-China trade discussions, contributing to alleviating concerns over global crude demand. Both nations are scheduled for talks this weekend, fueling hopes for easing tensions between the largest oil consumers. Additionally, the announcement of a US-UK trade pact bolstered the positive market sentiment. Earlier in the week, a sharper-than-expected decrease in US crude inventory levels and signs suggesting a potential supply correction further supported price increases. However, several factors continue to cap these gains, including OPEC+'s intentions to augment production, growing US economic uncertainties, and the potential ramifications of a US-Iran nuclear agreement on global oil supply.