Oil settles lower, records gains for second week

Oil drilling rigs

Oil prices fell on Friday amid concerns about slowing global oil demand growth due to the rising dollar and the assessment of economic data. However, oil posted gains for the second consecutive week.

At the settlement, Brent crude futures for August delivery declined by 0.55%, or 47 cents, to $85.24 per barrel, but recorded a weekly rise of 3.15%.

Meanwhile, the price of US WTI crude for August delivery, the most active contracts, eased 0.7%, or 56 cents, to $80.73 per barrel. WTI posted a weekly gain of 3.45%.

Data from Baker Hughes showed that the number of oil drilling rigs in the US decreased this week by three rigs to 485, the lowest level since the week ended January 7, 2022 (481 rigs).

Concerns about the delayed end of the Federal Reserve's monetary tightening cycle heightened after data showed growth in private sector activity in the US during June. The S&P Global Composite PMI hit its highest level in 26 months, with employment rising for the first time in three months.