U.S. West Texas Intermediate crude rose 2 cents to $67.06 a barrel by 0805 GMT after dropping nearly 2 percent on Thursday. For the week, WTI was on track for a 2.5% fall, adding to last week's near 5% decline and shrugging off a 3.6 million-barrel drop in USA crude stockpiles last week. For the week, WTI was on track for a almost 2.2 percent fall, adding to last week's near 5 percent decline.
USA crude production has hit record levels since late a year ago. It was still set to rise 0.5% for the week.
The Iranian light crude price settled at $77.03 per barrel in the mentioned week, Shana reported on Saturday.
- USA oil production has hit 10.769 million barrels per day, yet another record.
Crude stocks at the Cushing, Oklahoma, delivery hub for WTI fell 556,000 barrels, EIA said. A Reuters survey found that the OPEC oil output fell to a 13-month low in May due to declining Venezuelan production, Nigerian outages and strong compliance by its members with the supply-cutting deal.More news: Trump hoping to effectively block German auto imports to US?
U.S. production has been steadily rising since around October 2016, when it averaged roughly 8.4 million b/d, EIA weekly estimates showed.
WTI's discount to Brent widened to as much as $11.57 a barrel, largest since 2015, before narrowing to $10.76 a barrel as both grades retreated.
OPEC and its partners made a decision to extend its production cuts till the end of 2018 in Vienna on November 30, as the oil cartel and its allies step up their attempt to end a three-year supply glut that has savaged crude prices and the global energy industry.
Opec and non-Opec producers have committed to cut output by 1.8-million barrels a day until the end of 2018, but are ready to make gradual supply adjustments to deal with shortages, a Gulf source familiar with Saudi thinking told Reuters late on Wednesday. Prices have dropped about 5 percent since Saudi Arabia and Russian Federation last week proposed to phase out supply curbs by OPEC and its allies, a decline compounded by fears over U.S.
Negative impact on the oil market has had a weakness of equity markets in the USA and Europe on handicap concerns related to the political crisis in Italy and Spain, as well as the strengthening of the US dollar, says Dow Jones.
At 434.5 million barrels, US crude oil inventories are in the lower half of the average range for this time of year.