Oil headed for a narrow weekly gain ahead of US inflation data that will give further clues on the path forward for monetary policy.
West Texas Intermediate rose toward USD84 a barrel after a 0.9% gain on Thursday, with global benchmark Brent closing just above $89. The Federal Reserve’s preferred inflation gauge is due to be released later Friday, coming hard on the heels of data showing slowing US economic growth. Other gauges of price increases in the US remained hotter-than-expected.
Crude has advanced this year on supply cutbacks from OPEC+ and geopolitical tensions in the Middle East and Russia. Still, there have been signs of softer oil demand, with profits from producing diesel in Asia near the lowest in almost a year, while stockpiles of diesel-type fuels in Singapore expanded to the most since July 2021. – Bloomberg
