Crude oil futures closed higher on Friday, bouncing back from losses in the previous session, buoyed by a report from U.S. Energy Information Administration that said oil production fell sharply in May.
However, concerns about energy demand outlook due to continued worries about the economy amid the rapid spread of coronavirus pandemic, and mixed economic data from several parts of the world limited oil’s upside.
A likely uptick in production as OPEC and allies prepare to relax output curbs by 2 million barrels a day from Saturday too capped oil’s rise.
West Texas Intermediate Crude oil futures for September ended up $0.35 or about 0.9% at $40.27 a barrel.
Brent crude futures moved up $0.24 or about 0.7% to $43.18 a barrel.
According to the monthly report from EIA, crude oil production in the U.S. fell a record 2 million barrels per day to 10 million barrels per day.
According to a report from Baker Hughes, the number of U.S. oil rigs dropped by one to 180 this week.