Oil prices posted marginal increases during the week ending April 14 as fears of a global recession gained momentum over tight supply fears, limiting weekly gains.
Brent crude closed on Thursday at $86.41 per barrel, posting a 1.54% gain from the Monday session that opened at $85.10 a barrel.
The American benchmark West Texas Intermediate (WTI) registered at $82.47 per barrel at the same time on Thursday, increasing 2.44% relative to the opening price of $80.50 a barrel on Monday.
The Brent oil price traded in a range between $83.75 a barrel and $87.49 a barrel in a week that was dominated by the decision of the OPEC+ group to cut production by about 1.6 million barrels per day (bpd) as of May.
Adding to supply fears from the group’s decision, Russia announced its intention to reduce crude oil production by 700,000 barrels per day, further inducing market tightness and pushing prices up.
Nonetheless, weekly gains were limited as investors remain under demand pressure from a predicted global recession and the aggressive monetary policies of major economies' central banks.
The US Federal Reserve stated in its minutes issued on Wednesday that the current banking turbulence will push the country's economy into 'a mild recession' later this year.
'Given their assessment of the potential economic effects of the recent banking-sector developments, the staff’s projection at the time of the March meeting included a mild recession starting later this year, with a recovery over the subsequent two years,' the minutes read.
The Fed's projections come after four US banks abruptly failed last month: Silvergate Bank, Silicon Valley Bank (SVB), Signature Bank and First Republic Bank.
By Sibel Morrow
Anadolu Agency
energy@aa.com.tr