Oil Edges Higher After Weekly Gain as Banking Concerns Linger - Yahoo Finance

(Bloomberg) -- Oil extended a weekly gain as investors braced for further volatility amid the fallout from the banking crisis rippling across markets.

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West Texas Intermediate advanced toward $70 a barrel after closing almost 4% higher last week, aided by a weaker dollar. Investors are counting on China’s rebound from Covid curbs to accelerate later this year and boost prices, but concerns over banking and US monetary policy may drag on near-term demand.

See also: Oil Traders’ Bearish Turn Defies Their Own Predictions for Gains

Crude remains on track for its steepest first-quarter loss since 2020, when the pandemic pummeled energy demand. A potential US recession, strikes at French refineries and resilient Russian output have weighed on futures, with JPMorgan Chase & Co. forecasting Brent could break $60 a barrel in the near term.

In France, Exxon Mobil Corp. said it would begin shutting down its Gravenchon refinery — representing 20% of the country’s refinery capacity — on Saturday because of a lack of crude supply due to ongoing protests. That’s hit producers like Nigeria, with half of the nation’s April oil shipments still left unsold.

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