(MENAFN- ProactiveInvestors)
Crude oil futures took a hit Friday to tally a loss for the week as traders bet on a further rise in Saudi crude output.
There are also concerns about energy demand on the heels of Greece’s ongoing debt drama and monitored negotiations over Iran’s nuclear program.
Baker Hughes meanwhile showed a 28th straight weekly fall in the number of U.S. rigs actively drilling for oil.
On the New York Mercantile Exchange July crude slipped 1.4% to settle at US$59.61 a barrel.
Tracking the most-active contracts prices saw a weekly decline of 0.6%.
August Brent crude on London’s ICE Futures exchange fell 1.9% to US$63.02 a barrel.
OPEC output in May rose to 31.11 million barrels a day as output from Saudi Arabia rose to 10.25 million barrels a day according to a Platts survey released earlier this month.
Total output surpassed the group’s production ceiling of 30 million barrels a day.
Saudi oil minister Ali Naimi said he was optimistic about the future of the oil market in the coming months in terms of continuing improvement and increasing global demand the Saudi Press Agency reported.
Saudi Arabia and Russia signed a petroleum cooperation agreement yesterday which reportedly includes working together on nuclear energy development. Worries about a Greek debt default also put pressure on oil.
Oil investors also looked for news ahead of a potential Iranian nuclear deal which could result in more oil supply hitting the market. The agreement deadline is June 30.
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