Oil prices reach three month highs on week ending June 10, pushed by rising fuel demand in the US with start of the travel season and demand increase in China post Covid-19 restrictions.
International benchmark Brent crude traded at as high as $124.40 during the week while American benchmark West Texas Intermediate (WTI) hit $123.18, both reaching their highest levels seen since early March.
Prices increased mainly over fears of scant global supply falling short of meeting demand levels, especially in China and in the US.
With easing Covid-19 regulations, hopes for a boost in oil demand in China, the world's second largest oil consumer, are growing while demand in the US is expected to be higher with the start of the summer driving season.
On the supply side, OPEC+ output levels are thought to fall short of global demand further pushing prices up.
OPEC+ ministers decided last week to add 216,000 barrels of oil per day to the market in July and August, lower than what the market is thought to need.
Meanwhile, the US Energy Information Administration (EIA) on Tuesday revised up its 2022 forecast for global crude oil prices by $4 on the back of 'heightened levels of uncertainty' resulting from a variety of factors, including Russia’s full-scale invasion of Ukraine.
EIA revised its Brent crude price up to an average of $107.37 per barrel and WTI to $102.47 a barrel in 2022.
Brent traded at $124.06 at 1030 GMT on Friday with a 0.80% rise compared to previous trading session. WTI was at $122.41 per barrel at the same time for a 0.74% gain from the previous session.
By Zeynep Beyza Kilic