London — On Friday, oil prices were heading for a second week of gains on growing expectations that big crude exporters will extend output cuts to curb a persistent glut in inventories. Brent crude was up 77c at $53.28 at 1.28pm GMT, its highest since April 21, while US benchmark crude oil was up 67c at $50.02. Since the start of March, the Brent price has swung from more than $56 a barrel to less than $47 as opinion swayed over whether cuts by the oil cartel Opec and other producers will offset rising US output. "The battle between bulls and bears is raging on oil," said Greg McKenna, chief market strategist at futures brokerage AxiTrader. "On the one hand, you have traders who worry about the efficacy of Opec’s oil cuts on inventory levels. On the other, there are those who are focused on the real drawdowns that have started to occur in US oil stocks over the past month or so." Saudi Arabia and non-Opec Russia have said they see a need for an extension to output reductions. The in...
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