Oil drops on dollar strength and OPEC+ supply expectations

Oil drops on dollar strength and OPEC+ supply expectations

NEW YORK - Oil prices fell on Friday as the U.S. dollar rose while forecasts called for crude supply to rise in response to prices climbing above pre-pandemic levels.U.S. West Texas Intermediate (WTI) crude futures settled $2.03, or 3.2%, lower at $61.50 per barrel.Brent crude futures for April, which expired on Friday, fell 75 cents in the session, or 1.1%, to settle at $66.13 a barrel. The more actively traded May contract slipped by $1.69 to $64.42.The dollar rose as U.S. government bond yields held near one-year highs, making greenback-priced oil more expensive for holders of other currencies. However, Brent rose 4.8% and WTI ended up 3.8% on the week, and both were about 20% higher in the month on supply disruptions in the United States and optimism over demand recovery on the back of COVID-19 vaccination programmes."It's a dicey time - it doesn't seem like a time to load up on a risk-asset position," said Bob Yawger, director of Energy Futures at Mizuho in New York, wary of a potential output increase from OPEC and allies at next week's meeting.Also, the U.S. stockpile report this week showed a surprise build in oil inventories. Investors are betting that next week's meeting of