Oil settles higher, posts 8% weekly loss

Oil drilling rigs

Oil prices closed higher on Friday, but posted weekly losses amid expectations that the OPEC+ alliance will approve another supply increase starting in November.

December Brent crude futures gained 0.66%, or 42 cents, to settle at $64.53 a barrel, though the benchmark ended the week down 8%.

November US West Texas Intermediate (WTI) futures rose 0.66%, or 40 cents, to $60.88 a barrel, narrowing their weekly losses to about 7.4%.

Reuters reported, citing sources familiar with the discussions, that the eight core members of the OPEC+ alliance may agree to another production hike at a meeting scheduled for Sunday, with some members pushing for a larger increase while Russia favors a more modest adjustment.

Analysts quoted by the agency said expectations of higher OPEC+ output, coupled with slower global refining activity due to maintenance and a seasonal drop in demand, could weigh on the market in the coming period.