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International crude benchmarks ended Friday, January 24, 2025, with modest gains but logged their first weekly loss in four weeks, as market dynamics shifted amid US policy changes and global demand concerns.

Brent crude rose by 21 cents and settled at $78.50/barrel.

WTI increased by 4 cents and closed at $74.66/barrel.

Despite these marginal increases, Brent declined 2.8% over the week, and WTI dropped a sharper 4.1%.

A notable ninth consecutive weekly decline in US crude inventories, with a drawdown of 1 million barrels, underscored resilient winter-season demand, offering short-term price support. However, this was offset by the US government’s announcement of an ambitious plan to boost domestic oil production, signalling potential long-term supply growth that weighed on sentiment.

Additionally, the tightening of US sanctions on two major oil-producing nations – Russia and Iran, exacerbated concerns about geopolitical supply disruptions. Yet, these factors were tempered by signs of muted crude demand in China, the world’s second-largest oil consumer, as economic recovery there remains sluggish.

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Written by: Muhammad Hafiz