Oil Prices Brace for Steep Weekly Decline

18 Oct 2024 , 10:53 AM

Crude oil futures held steady on Friday following good retail sales data in the United States, but Chinese economic indicators remained mixed, and prices were on track for their worst weekly decline in more than a month due to concerns about demand.

Brent crude futures rose 8 cents, or 0.1%, to $74.53 per barrel, while West Texas Intermediate crude in the United States rose 15 cents, or 0.2%, to $70.82.

Both contracts finished higher on Thursday for the first time in five sessions, after the Energy Information Administration (EIA) reported a drop in crude oil, petrol and distillate stockpiles in the United States last week.

Brent and WTI are expected to fall about 6% this week, the most in a single week since September 2, after OPEC and the International Energy Agency cut their forecasts for global oil demand in 2024 and 2025, and concerns about a potential retaliatory attack by Israel on Iran eased.

U.S. retail sales rose slightly more than predicted in September, with investors still predicting a 92% chance of a Federal Reserve rate drop in November.

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