Oil prices edged lower on Friday, set to post their first weekly fall in five weeks, after US inventory data showed lacklustre fuel demand in the world’s largest oil consumer, while worsening US-China tensions weighed on global financial markets.
Brent crude slipped 43 cents, or 1.2 per cent, to $34.86 a barrel by 0643 GMT and US West Texas Intermediate (WTI) crude was at $33.14 a barrel, down 57 cents, or 1.7 per cent.
“The rally needs a breather. It has been four weeks of gains and the market needs to buy time for downstream prices to catch up,” OCBC economist Howie Lee said.
“Beyond the short term, the bullish momentum still looks rather intact.”
