Oil Heads for Back-to-Back Weekly Gain as Commodities Power On By Bloomberg – Investing.com

Oil Heads for Back-to-Back Weekly Gain as Commodities Power On By Bloomberg – Investing.com

(Bloomberg) -- Oil headed for a second straight weekly advance as investors bet on rising energy demand amid a broad rally in commodities, with robust trade data from China highlighting the strength of the global economy.

West Texas Intermediate gained 0.5%, rebounding from a drop on Thursday. The U.S. benchmark has risen 2.3% this week and is on pace for the first back-to-back weekly increase since early March as vaccine-aided economic activity picks up in the U.S., Europe and China. That’s offsetting concern about resurgent coronavirus waves elsewhere, including in key crude importer India.

Crude has rallied in 2021 as investors target assets that will prosper on the recovery from the pandemic. The gains were buttressed by supply cuts from the Organization of Petroleum Exporting Countries and its allies, although these are now being relaxed, and record monetary support from the Federal Reserve. U.S. payrolls data later Friday will yield fresh insights into the rebound.