FX.co ★ Brent Holds Gains

Brent crude oil futures stabilized at approximately $69.6 per barrel on Friday, sustaining a 1.5% increase from the previous session. This was driven by expectations of reduced supply and an enhanced demand forecast. Disruptions in Iraq’s Kurdistan region due to drone attacks curtailed production by up to 150,000 barrels per day. Meanwhile, continuing regional instability and Israeli military actions in Syria contributed to market uncertainties. In the broader economic landscape, robust US economic data alleviated growth concerns despite ongoing trade tensions, and China's better-than-anticipated GDP figures bolstered demand prospects from major consumers. Further underpinning this sentiment, US crude oil inventories dropped significantly last week, aligning with the International Energy Agency’s findings that rising production has not resulted in increased stockpiles, signifying strong demand. Nonetheless, oil is set for a weekly decline exceeding 1%, the first in three weeks. This comes after President Trump's earlier ultimatum to Russia, giving them a 50-day deadline to negotiate a ceasefire, which alleviated fears that new sanctions might disrupt global crude supplies.