The oil prices declined to a three-week low on Friday in a choppy session after US jobs data stoked concerns about rising interest rates. As investors sought more clarity on the looming European Union ban on Russian refined products.
Brent crude futures fell by $2.23, or 2.7%, to $79.94 a barrel, after a rise to $84.20. The lowest level during the session was $79.72, which is since January 11.
US West Texas Intermediate crude closed down $2.49, or 3.3%, to $73.39, after moving between $78 and $73.13, the lowest level since January 5. Brent crude fell 7.8% this week, while WTI fell 7.9%.
Job growth in the United States accelerated significantly in January amid continued labour market strength. Still, it is assumed that the decline in the pace of wage increases again (the Federal Reserve) (the US central bank) will give breathing space in its battle to curb inflation.
“The market can’t decide whether it should be worried about a recession or more concerned about the Federal Reserve being aggressive on interest rates,” said Phil Flynn, an analyst at Price Futures Group.