Oil steady as market eyes coronavirus hit to demand

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Oil prices were little changed on Friday but on track for a weekly fall on concerns that a global resurgence of COVID-19 infections will constrain fuel demand, while the likely return of exports from Libya will add to supply.

Brent is heading for a drop of nearly 3% this week, while U.S. crude is on track for a decline of almost 2%. Both benchmarks are also on track for a monthly decline, which would be the first for Brent in six months.

An oil tanker was loading a cargo on Thursday from one of three Libyan terminals that were reopened in recent days and more cargoes are expected to be lifted in the coming days. In the United States, which has the highest death toll from the COVID-19 crisis and is the world’s biggest oil consumer, unemployment claims unexpectedly rose last week suggesting an economic recovery is flailing and pushing down fuel demand.

 

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