Oil Prices Are Set to Post Their Second Straight Weekly Loss

Economic worries are continuing to outweigh market fundamentals, and oil prices are on track to register a weekly drop for the second consecutive week.

Expectations for oil demand have been harmed by remarks from the Fed that suggested interest rate hikes may become even more aggressive.

Prices were pushed higher this week by reports that China would relax its COvid limitations and the EIA's estimate that oil inventories had decreased.

Oil prices were unchanged early on Friday in Europe and were on track to post their second consecutive weekly loss as concerns over an economic slowdown continued to outweigh expectations for increased oil demand from China.

WTI Crude, the American standard, was trading 0.05% higher at $84.57 as of 2:58 a.m. ET on Friday, and Brent Crude was trading 0.13% higher at $92.42.

 The probable weekly decline in oil prices this week would follow the decline last week, which was sparked by fresh inflation statistics from the United States that foreshadowed impending economic issues.

After China indicated an easing of its stringent Covid policy, which has harmed market confidence lately, oil prices increased at intraday trade on Thursday. By the conclusion of trade on Thursday, however, the gains had lost steam as the market once more focused on its concern over decreasing oil demand growth amid a slowing economy.

In a speech to the Greater Vineland Chamber of Commerce in New Jersey, Harker predicted that we will have inflation far above 4 percent by the end of the year "given our frankly disappointing lack of success on controlling inflation."

After ending Thursday nearly steady, crude futures were slightly higher at midday in Singapore on Friday. By Thursday's close, Brent and WTI futures had almost completely given up their significant intraday gains, indicating that the rally that had been sparked the day before by a bullish set of US oil stocks data had not been sustained, according to Vanda Insights, which released its analysis early on Friday.