Oil Prices Heading for Fourth Weekly Decline

Oil prices fell on Friday, set for their fourth weekly decline, as renewed economic concerns in the United States and China revived anxieties about fuel demand growth in the world's two largest oil consumers.

Brent crude futures dropped by 48 cents, or 0.64%, to $74.50 a barrel. US West Texas Intermediate crude futures were down 39 cents, or 0.55%, to $70.48, Reuters reported.

Both benchmarks are set to fall by about 1.1% for the week, which would be the longest streak of weekly declines since November 2021.

With talks over the US government's debt ceiling stalled and renewed fears that another regional bank is in crisis, there is mounting concern that the US will enter a recession. A decline in new loans to businesses in China and weaker economic data there earlier in the week refocused doubts about its recovery from Covid restrictions driving oil demand growth.

Price rose earlier on Friday, after falling for the previous two sessions, on some demand expectations following comments from the US energy secretary that the US could repurchase oil for the Strategic Petroleum Reserve once some sales finish in June.

The US government has said it will buy oil when prices are consistently at or below $67-72 per barrel.