New York: Brent crude oil ended lower on Friday as investors booked profits after gaining for four straight days and hitting overbought conditions as it topped $120 a barrel.
But Brent crude posted its fourth consecutive weekly gain, with prices elevated due to fears of supply disruptions in Iran and rising confidence that Greece will finally secure a debt bailout deal by tomorrow. US crude rose for the third consecutive day, ending at the highest level in nine months, and chalking up its second straight week of gains.
Recovery fears
A slew of recent upbeat economic data has helped US crude advance, although a report on Thursday that US consumer prices rose the most in four months in January due to a spike in gasoline prices raised concerns that higher energy costs could slow the econ-omic recovery.
In London, ICE Brent crude for April delivery settled at $119.58 a barrel, falling 53 cents, or 0.44 per cent, after hitting a session high of $120.70, the highest since June 15. For the week, Brent crude rose $2.27, or 1.94 per cent, extending gains to the fourth week in a row.
US crude for March delivery settled at $103.24 a barrel, gaining 93 cents, or 0.91 per cent, topping the $103.22 close from January 4 and posting the highest finish since front-month crude ended at $103.88 on May 10.
For the week, US crude ended up $4.57, or 4.6 per cent. That marked its best performance since the week to December 23, when front-month prices ended up $6.15, or 6.58 per cent.
In post-settlement trading, March crude extended the day's high, hitting $104.14, up $1.83, the priciest for front-month US crude since the May 11, 2011 intraday high of $104.60. March crude expires on Tuesday. April Brent's premium against its US counterpart contract narrowed sharply to $15.98 at the close, from $17.47 on Thursday. Brent crude's Relative Strength Index (RSI) fell back to 70, from 73.6 on Thursday, according to Reuters data. A reading of 70 is the threshold for overbought conditions.
