West Texas Intermediate held above $95 a barrel Friday morning, after 2.1% overnight loss. Brent also held slightly above $103 a barrel, after a 2.7% overnight slump.
The global Oil benchmarks are set for a heavy weekly loss, as comments from Russian President Vladimir Putin, who said Russia doesn`t want confrontation, helped unnerve traders about further escalation in the embattled Ukraine. However, weak demand in the last few months and ample supply in the Atlantic basin have helped keep prices in check against mounting geopolitical risks in oil-producing world.
The Kremlin desire to de-escalate the worst crisis in Russia-West relations since the Cold War was welcomed by the broad markets. Putin`s speech Thursday came as a large Russian aid convoy pulled close to the Ukrainian border amid tense arguments over its route and border clearance.
The oil markets are relatively calm before the weekend, despite tensions in the other OPEC members.
The first tanker coming sailed out of Libya’s Ras Lanuf oil terminal since the port was reopened following a year of blockades by armed protestors.
Over the crisis in Iraq, the political impasse ended after Iraqi Prime Minister Nouri al-Maliki said he has agreed to leave office and clear the way for his designated successor to take over -a move that help the new government halt the Sunni militants grip over more oil fields in the northern of country.
As of 03:46 a.m. ET:
- West Texas Intermediate for September Delivery fell 0.10% to $95.48 a barrel on the New York Mercantile Exchange
- Brent for September delivery rose 0.21% to $102.28 a barrel on the ICE Exchange in London