Oil prices increased more than 6% during the week ending Jan. 13, with demand euphoria as China decided to lift Covid restrictions and weak US dollar.
Brent crude was trading at $84.27 per barrel at 1250 GMT on Friday, posting an 7.5% gain from the Monday session that opened at $78.42 a barrel.
American benchmark West Texas Intermediate (WTI) registered at $78.69 per barrel at the same time on Friday, increasing 6.2% relative to the opening price of $74.10 a barrel on Monday.
The prices started the week on a positive note over demand euphoria as Chinese decision to lift Covid restrictions boosted hopes for rebounding economic activity in the world’s second largest oil consumer.
However oil prices slid on Tuesday over concerns about economic growth and oil demand in the US, the world's largest oil consumer, and as weaker US dollar increases traders' appetite for cheaper dollar-indexed crude oil.
An expected rise in US crude oil inventories and growing fears about further interest rate hikes in the US put further pressure on the market by mid-week.
The Energy Information Administration (EIA) data announced late Wednesday supported the projections with US commercial crude oil inventories increasing by around 19 million barrels to 439.6 million barrels.
IMF chief Kristalina Georgieva warned Thursday that, it will be a difficult year and the global economy continues to be fragile.
Oil prices continued its downward trajectory early Friday amid increasing Covid cases in China.
The country stopped reporting case numbers after the measures were lifted at the beginning of last month, but health officials in several big cities in the country are reporting that the majority of the population is already infected.
By Ebru Sengul Cevrioglu
Anadolu Agency
energy@aa.com.tr