Dec 03, 2021 05:21AM ET
By: AnalysisWatch
Oil prices rose on Friday after producer group OPEC+ said it may reconsider its policy of raising output in the short term if oil demand collapses due to a rising number of production freezes, while Brent was on track for a sixth week of declines.
By 0959 GMT, Brent crude futures were up $1.91 cents, or 2.7 percent, at $71.58 per barrel.West Texas Intermediate (WTI) crude futures in the United States rose $1.73, or 2.6 percent, to $68.23 per barrel.
The Organization of the Petroleum Exporting Countries, Russia and their allies, collectively known as OPEC+, surprised the market on Thursday by sticking to plans to increase supply by 400,000 barrels per day (bpd) in January.
However, the makers left open the chance of rapidly changing their arrangement on the off chance that request experiences measures to contain the spread of the Omicron Covid. They said they could meet again before their next planned gathering on January fourth.
Likewise, OPEC has experienced issues in really executing its arranged creation increments.
Throughout the week, markets were roiled by the emergence of Omicron and speculation that it could trigger new closures and dampen fuel demand.
Brent ended the week down about 1.7%, its first consecutive six-week decline since November 2018. This week, WTI was largely stable after five weekly declines.
Analysts at JPMorgan said the market's decline implied "excessive" demand impairment, while global mobility data (excluding China) showed that mobility continues to recover, averaging 93% of 2019 levels last week.
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