Oil Heads for 1st Monthly Gain

Oil Heads for 1st Monthly Gain
Oil Heads for 1st Monthly Gain

Oil prices edged higher on Friday, with Brent poised for its first monthly gain this year, as a big drawdown in US oil stocks outweighed concerns that fuel demand will be dented further by more interest rate hikes.
Brent crude futures for September delivery rose 16 cents or 0.2% to stand at $74.67. The less-traded front month contract, which expires on Friday, was up 30 cents at $74.64.
US West Texas Intermediate crude gained 8 cents or 0.1% to $69.95, Reuters reported.
After settling marginally higher on Thursday, both benchmarks were on track to climb more than 2.5% for June. 
While it would be Brent's first monthly gain for 2023, it would mark a second for WTI after a gain in April.
Despite the probably monthly gain, on a quarterly basis, Brent looks set for a loss of around 6% while WTI appears headed for a decline of about 7%.
Markets are worried about tightening supply after the US Energy Information Administration said crude inventories dropped by 9.6 million barrels in the week ended June 23, far exceeding the 1.8-million-barrel draw analysts had forecast in a Reuters poll.

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