Crude oil adged above $78 But still on a weekly decline

brent oil prices

WTI crude oil edged above $78 per barrel on Friday, but were still set to end the weekly lower due largely to concerns about Chinese demand and reports of a high price cap by G7 nations on Russian oil that eased supply worries.

The US oil benchmark is down more than 2% this week, on track for the third straight weekly decline.

China continued to grapple with surging Covid cases, stoking fears that authorities would adopt wider movement restrictions that could hurt energy demand in the world’s top crude importer.

Meanwhile, crude oil weekly markets evaluated the impact of the G7’s proposed price cap on Russian oil in the range of $65-70 per barrel which is higher than current prices for Urals, allaying fears that Russia would retaliate by cutting supply.

Still, investors remain cautious ahead of the European Union ban on Russian crude on Dec. 5, as well as an OPEC+ meeting on Dec. 4