Oil Prices Increase Slightly Amid Supply and Demand Concerns

Oil prices went up a little on Friday, but they are still set to finish the week down due to possible changes in supply and ongoing issues in the world. Brent crude, one type of oil, increased by 5 cents to $66.60 per barrel, but it is expected to fall 2% this week. Meanwhile, U.S. West Texas Intermediate (WTI) crude went up by 6 cents to $62.85 per barrel, facing a drop of 2.9% for the week.

The situation in Ukraine is getting slightly better, according to Russian Foreign Minister Sergey Lavrov. He mentioned that the U.S. and Russia might be able to agree on ending the war, which could lead to more Russian oil reaching global markets. Russia is a key player in OPEC+, the group of countries that work together to help control oil production, alongside the U.S. and Saudi Arabia.

Just this week, some OPEC+ countries discussed the possibility of increasing oil production for another month. In addition, Iran is willing to talk with European countries about its nuclear program, which could also mean lifting restrictions on Iranian oil, making it available again. Iran is the third-biggest oil producer in OPEC, behind Saudi Arabia and Iraq.

However, the demand for oil is uncertain due to ongoing trade issues between the U.S. and China, the two largest oil users in the world. Many companies are raising prices and adjusting their financial forecasts because of the rising costs linked to the trade war, and this could affect oil demand as the economy slows down.