Brent crude futures added 68 cents, or 0.9 per cent, to $74.73 a barrel, while U.S. WTI crude futures advanced 64 cents, also 0.9 per cent higher, to $69.98 a barrel
Oil prices rose in early trade on Friday but were on track to drop 6 per cent for the week, staying near six-month lows, with investors fretting about weak energy demand in Asia combined with high U.S. crude production.
Brent crude futures added 68 cents, or 0.9 per cent, to $74.73 a barrel by 0136 GMT, while U.S. West Texas Intermediate (WTI) crude futures advanced 64 cents, also 0.9 per cent higher, to $69.98 a barrel.
Both benchmarks slipped to their lowest since late June in the earlier session. In an indication that traders believe the market may have become oversupplied, Brent and WTI are also in contango, a market structure in which front-month prices trade at a discount to prices a half year later.
Concerns about China’s economy have prompted the oil market’s downturn this week.
Chinese customs data showed that crude oil imports in November dropped 9 per cent from a year earlier as high inventory levels, weak economic indicators and slowing orders from independent refiners weakened demand.
In India, fuel consumption in November dropped after touching a four-month high in the previous month, hit by reduced travel in the world’s third largest oil consumer as a festive boost fizzled.
Brent and WTI crude futures are on track to drop 5.8 per cent and 6 per cent for the week, respectively, in spite of a recent supply cut agreement from the OPEC and allies, known as OPEC+.
OPEC+ agreed to a combined 2.2 million barrels per day in voluntary output cuts for Q1 of next year.
