HOUSTON- Oil prices settled higher on Friday and gained 4 percent on the week, with investors taking stock of the ongoing conflict in the Middle East as well as the US election next month.
Brent crude futures settled up $1.67, or 2.25 percent, at $76.05 a barrel. US West Texas Intermediate crude settled up $1.59, or 2.27 percent, to $71.78.
Brent settled 4 percent up on the week, while WTI settled 3.7 percent higher on the week.
“Really it seems like the market is bouncing around in a holding pattern till we get an answer to some of these questions on Israel, the war and the election,” said Phil Flynn, senior analyst at Price Futures Group.
“The election is creating uncertainty in a lot of markets and people are pulling in their horns a little bit, not ready to be making big commitments because of the potential for spikes, volatility and uncertainty,” Flynn added.
Investors globally are piling into the US dollar and betting on rising volatility ahead of these next crucial two weeks leading up to the Nov. 5 election in the US as well as an election in Japan, and three major central banks deciding on interest rates and the UK government presenting its new budget.
Both benchmarks have fluctuated this week, rising on Monday and Tuesday before falling on Wednesday and Thursday, largely on expectations of heightened or reduced Middle East risk.
