Oil prices rise more than 3% as Brent closes at $109.26 and WTI at $105.42
Oil prices climbed as Brent closed at $109.26 and WTI at $105.42 after robust weekly gains, while gold fell, signaling shifting risk appetite on supply worries.
Global oil prices rose sharply on Friday as both international benchmarks recorded strong gains to cap a volatile week. Brent crude futures rose by 3.35 percent to settle at 109.26 dollars per barrel, while West Texas Intermediate gained 4.2 percent to finish at 105.42 dollars per barrel. The moves left Brent with a weekly advance of 7.84 percent and WTI with a 10.48 percent jump.
Brent hits 109.26 dollars at settlement
Brent crude closed higher by 3.54 dollars, reflecting renewed momentum in international oil markets. The benchmark’s weekly rise marked one of its strongest weekly performances in recent trading, driven by tightening supply indicators and stronger demand expectations.
Traders noted that a combination of reduced available cargoes and continued logistical constraints supported prices. Market participants also pointed to growing expectations that crude inventories could remain tighter than previously forecast.
West Texas Intermediate posts double digit weekly gain
US WTI rose by 4.25 dollars on the session and outpaced many peers for the week with a more than 10 percent gain. The surge for WTI reflected United States market dynamics and a cross market response to the same supply and demand signals that buoyed Brent.
Analysts said that WTI’s stronger weekly return reflected both regional inventory adjustments and increased buying ahead of holiday and seasonal demand periods. The move also highlighted a narrowing discount between US and international grades compared with recent months.
Supply tightness and demand signals underpin rally
Market commentators attributed the rally to a mix of supply concerns and improving demand sentiment across major consuming regions. Reduced output from certain producers, coupled with delays in cargo movements, contributed to a perception of tighter near term supply.
At the same time, indicators of stronger fuel consumption and manufacturing activity in parts of Asia and the United States lent support. Traders added that any official statements or production adjustments by major oil producing groups could amplify price sensitivity in coming sessions.
Precious metals respond as investors rotate into energy
Gold prices retreated alongside the crude rally as investors shifted exposure toward oil and away from some safe haven assets. The yellow metal fell by 2.3 percent to 4541.91 dollars per ounce on the session, marking a several percent pullback for the week.
Market strategists explained that rising energy prices and a changed risk tone prompted rebalancing in portfolios. With oil leading gains, some risk taking returned to commodity markets while inflation related hedges were reassessed.
What traders will watch next
Market attention will now turn to a series of economic data releases and industry reports that could confirm or temper current expectations. Weekly inventory figures and upcoming official supply statements are likely to influence near term price direction.
Investors will also monitor demand indicators from major consuming economies and any shifts in shipping or logistics that affect crude flows. Volatility is expected to remain elevated as market participants weigh incoming data against the backdrop of already higher price levels.
The week concluded with clear market momentum in favor of energy, but analysts cautioned that oil prices can react quickly to new information. Continued attention to inventory statistics and producer behavior will be key for determining whether the current rally broadens into a more sustained trend.
