Brent Crude Oil Set to End Volatile Week Higher

Brent Crude : Oil held above $107 per barrel on Friday and were set to end the week higher after another period of heightened market volatility as traders weighed signs of tightening supplies against worries over an economic slowdown.

Shell CEO Ben van Beurden told Bloomberg TV on Thursday that there is more upside than downside for oil prices as “demand hasn’t fully recovered yet and supply is definitely tight.” TotalEnergies CEO Patrick Pouyanne shared the same view, saying oil production could not keep up with recovering demand.

The OPEC+ is scheduled to meet on August 3 where the US is hoping for an announcement of additional supply, although analysts warned that member countries are already struggling to meet production quotas due to underinvestment in oil fields.

Meanwhile, the US economy shrank for a second straight quarter, fueling recession fears as the country grapples with soaring inflation and rising interest rates.