Investing.com–Oil prices fell slightly in Asian trading on Friday and headed for a weekly loss on expectations of an easing of tensions in the Middle East, with attention turning to an upcoming meeting of the OPEC+.
Crude was affected by the announcement of a ceasefire between Israel and the Lebanese militant group Hezbollah, although it is not yet clear whether the truce will be maintained.
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Heightened tensions between Russia and Ukraine – following a series of debilitating strikes against kyiv – provided limited support for crude, while trading volumes were limited due to the Thanksgiving holiday in UNITED STATES.
Expiring January oils fell 0.1% to $73.21 a barrel, while oils stabilized at $69.10 a barrel as of 9:19 p.m. ET (02:19 GMT).
OPEC+ meeting expected for more production indices
The Organization of the Petroleum Exporting Countries and its allies, including Russia (OPEC+), are expected to meet next week. The meeting was rescheduled from December 1 to December 5, according to reports, and is expected to be a virtual meeting.
Other reports have shown that the cartel is likely to push back plans to increase production at the December meeting, amid continued low oil prices.
The slowdown in demand in China, the largest oil importer, is one of the main concerns of OPEC+, which has regularly revised downwards its forecasts for oil demand for the coming year.
Israel ceasefire leads to weekly oil losses
Crude oil and Hezbollah prices fell about 3% each this week as traders priced in a lower risk premium after Israel and Hezbollah agreed to a ceasefire.
The ceasefire reduces the risk of disruption to oil supplies in the Middle East, although Israel has continued its offensive in Gaza.
Israel and Hezbollah also accused each other of violating the ceasefire agreement on Thursday, raising doubts about the duration of the truce.
The ceasefire was brokered by the United States and France, with the Biden administration also pushing for a truce in Gaza before Donald Trump took office in January.
Separately, tensions between Russia and Ukraine remained high after Russia carried out a series of debilitating attacks on Ukraine, targeting the country's power grid.
