Brent settles below $83 a barrel, records losses for second week

Oil drilling rigs

Oil futures prices deepened their losses during Friday's trading on July 19, with geopolitical risk premiums shrinking amid news of an agreement that could lead to a ceasefire in Gaza. This marks the second consecutive week of losses.

At settlement, Brent crude futures for September delivery fell by 2.9%, or $2.48, to $82.63 a barrel, recording a weekly loss of 2.8%.

Meanwhile, the US West Texas Intermediate (WTI) crude for August delivery dropped by 3.25% or $2.69, to $80.13 a barrel, shedding 2.55% since the beginning of the week.

According to a report by the International Energy Agency (IEA), global electricity demand is expected to rise by 4% annually this year and next, driven by economic growth and severe heatwaves, up from 2.5% in 2023, marking the highest annual growth rate since 2007.

Data from Baker Hughes showed that the number of oil drilling rigs fell by one rig to 477 rigs during the current week, the lowest level since the week ending December 17, 2021 (475 rigs).