Investing.com – WTI crude oil prices settled higher Friday, despite data showing a ramp up in the number of U.S. oil rigs, signalling a potential expansion in domestic crude output.
On the New York Mercantile Exchange crude futures for August delivery rose 1.2% to settle at $73.80 a barrel, while on London's Intercontinental Exchange, Brent fell 23 cents to trade at $77.16 a barrel.
Oilfield services firm Baker Hughes reported on Friday that the number of U.S. oil drilling rigs in operation rose by 5 to 863 in the week to June 29. That comes on the back of two-straight weeks of falling rig counts.
Crude oil prices were supported, however, by ongoing bets on a shortage in global crude supplies amid rising oil demand, the potential for a larger drop in Iranian crude exports – amid looming U.S. sanctions – and ongoing challenges in Venezuela's energy industry.
Expectations for a shortage in global crude supplies come against the backdrop of rising Russian and Saudi output.
The Saudis reportedly informed OPEC that they raised output by 458,000 barrels a day (bpd) in June, from the prior month, Reuters reported, citing OPEC.
A monthly S&P Global Platts OPEC survey, meanwhile, showed Saudi Arabia pumped 10.39 million bpd in June, up from 10.01 million bpd in May – the highest Saudi production level since December 2016.
Crude oil prices posted a weekly loss after suffering a hefty sell-off Thursday, when U.S. crude supplies unexpected rose as imports surged.
Inventories of U.S. crude rose by 1.245 million barrels for the week ended June 30, confounding expectations for a draw of 5.20 million barrels, according to data from the Energy Information Administration (EIA).