Oil prices plunged in limited trade on Friday amid concerns over increased supplies from major producers and the impact of the COVID-19 pandemic on fuel demand.
Brent crude oil futures for June settlement fell 16 cents, or 0.3%, to $ 63.04 a barrel at 17:38 GMT. West Texas Intermediate (WTI) crude oil for May delivery was down 22 cents at $ 59.38 a barrel.
Both contracts fell around 2% -3% this week, but still far from the $ 60.47 low two weeks ago.
With the decision of the Organization of Petroleum Exporting Countries (OPEC) and its allies, downward pressure was exerted to increase the supply by 2 million barrels a day between May and July.
It is estimated that favorable oil demand expectations will be balanced with the expected increase in OPEC + production, and this increase will approach 2 million barrels per day by the end of July.
US drillers did not change the number of oil rigs this week, and more equipment is needed to keep production steady, according to analysts.
In some parts of the world, renewed restrictions and problems with vaccination programs can threaten oil demand prospects.
While considering these factors, investors expect oil prices to range from $ 60 to $ 70.
There is a driving force in the market based on acceleration of vaccination, increased production and new lockdowns.
In a statement Friday, it was said that Iran and the United States have made progress in talks to return to the 2015 nuclear deal, but Iranian officials are in disagreement over what sanctions it would ask Washington to lift.
