The Brent and US West Texas Intermediate crude oil benchmarks rose more than US$1 a barrel during trade on Friday as markets watched for signs of any direct conflict between Israel and Iran that could further tighten supplies.
Oil prices dipped on Tuesday, settling slightly lower after a higher-than-expected forecast for US crude oil production and bearish economic data, but persistent geopolitical tensions limited declines.
Oil futures sank by US$1 a barrel on Wednesday as surging US crude inventories pushed down prices and a possible security threat to the US that might dampen oil demand in the world's largest economy.
Oil prices settled lower on Tuesday as traders focused on rebounding crude output in parts of the US, along with rising supply in Libya and Norway, rather than risks to supply posed by conflict in Europe and the Middle East.
Saudi Aramco is forecast to cut the price of its flagship oil grade to Asia for the first time since June as an influx of cheaper US and European barrels drives up competition in the world’s biggest importing region.
Brent crude futures holds above US$90 as investors await macroeconomic data that could indicate whether interest rates will rise further in the United States and Europe and the repercussions that would have for oil demand.
Crude surged past $110 a barrel Wednesday and equities sank with investors growing increasingly fearful about the Ukraine war's impact on global energy supplies and the economic recovery.