Oil heads for biggest annual gains since at least 2016 | Reuters

Oil heads for biggest annual gains since at least 2016 | Reuters

Oil prices fell on Friday but were set to post their biggest annual gains since at least 2016, spurred by the global economic recovery from the COVID-19 slump and producer restraint, even as infections surged to record highs around the world.

Brent crude futures fell $1.01, or 1.3%, to $78.52 a barrel at 1201 GMT, while U.S. West Texas Intermediate (WTI) crude futures dropped $1.12, or 1.5%, to $75.87 a barrel.

Brent is on track to end the year up nearly 52%, its biggest gain since 2016, while WTI is heading for a 56.5% gain, the strongest performance for benchmark contract since 2009, when prices soared more than 70%. Both contracts touched their 2021 peak in October with Brent at $86.70 a barrel, the highest since 2018, and WTI at $85.41 a barrel, the highest since 2014.

Global oil prices , are expected to rise further next year as jet fuel demand catches up. read more