Sunday Outlook: Oil prices rose over 2% on Friday

Brent crude oil rose $1.36, or 2.2 percent

  
Oil rebounded more than 2 percent on Friday after falling for five straight sessions as a major U.S. crude pipeline was shut and traders anticipated an OPEC deal to extend curbs on production.

Prices, however, fell for the first week in six, pressured by rising U.S. output data and doubts that Russia would support an extension of the OPEC output cut deal.

Brent crude oil rose $1.36, or 2.2 percent, to settle at $62.72 a barrel while U.S. West Texas Intermediate crude (WTI) ended $1.41, or 2.6 percent, at $56.55 a barrel.

For the week, Brent was down 1.3 percent and WTI fell 0.3 percent.

In stocks, the S&P 500 fell on Friday as investors eyed the prospects for tax cuts and positioned themselves for the close of earnings season and what is typically a quieter week as many traders take a break around Thursday’s Thanksgiving holiday.

The pan-European FTSEurofirst 300 index lost 0.29 percent and MSCI's gauge of stocks across the globe was fractionally higher.

In the Middle East, the Saudi index spent most of the day lower and was down as much as 0.9 percent before a burst of buying in the final 20 minutes lifted it to close 0.02 percent higher.

Dubai's stock index edged down 0.2 percent as Emaar Properties closed 0.3 percent lower.

Abu Dhabi's index fell 0.2 percent.

In Kuwait, Al Mal Investment Co soared 17.7 percent after investment firm Al Khair National said it intended to sell its entire stake in Al Mal; details were not given.

The Kuwait index rose 0.4 percent.

In Egypt, the index tumbled 1.3 percent to 13,847 points, triggering a minor double top formed by the highs since end-October and pointing down to around 13,500 points. Arab Cotton Ginning dropped 3.7 percent.

In currencies, the dollar fell against a basket of other major currencies on Friday, as Treasury yields slipped and investors remained skeptical of U.S. Republicans’ efforts to pass tax cuts.

The dollar index, which measures the greenback against six rival currencies, was down 0.31 percent to 93.645. For the week, the index was down 0.8 percent.

The euro was up 0.23 percent to $1.1796. The greenback was down 0.82 percent against the Japanese yen.

Gold jumped to a one-month high on Friday as the dollar softened.

In other news, average yields on Egypt's six-month and one-year treasury bills rose at an auction on Thursday, data from the central bank showed.

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© ZAWYA 2017

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