Oil prices rise 2% on fears Suez blockage may last weeks | Reuters

Oil prices rise 2% on fears Suez blockage may last weeks | Reuters

Oil prices reversed a sharp sell-off a day earlier to rise about 2% on Friday on mounting fears that it could take weeks to dislodge a giant container ship blocking the Suez Canal, which would squeeze supplies of crude and refined products.

Prices, however, were still headed for a third consecutive weekly loss, with the outlook for demand dented by fresh coronavirus lockdowns in Europe.

Brent crude was higher by $1.09, or 1.8%, at $63.04 a barrel by 0750 GMT, after dropping 3.8% on Thursday.

U.S. West Texas Intermediate (WTI) crude was up $1.22, or 2.1%, at $59.78 a barrel, having tumbled 4.3% a day earlier.

Both benchmarks were on track for a small weekly loss, following a more than 6% decline last week.