Oil prices fall slightly Friday morning due to demand concerns but are still on course for a fifth straight week of increases, following strong economic data from the US and speculation over economic stimulus in China.

At the same time, expectations that the Organization of the Petroleum Exporting Countries and Allies (OPEC+) will continue to cut oil production are also supportive.

A barrel of the European reference oil, Brent, costs USD 83.74 on Friday morning, compared to USD 83.80 on Thursday afternoon. At the same time, US WTI oil is trading at USD 79.66 compared to USD 79.87 on Thursday afternoon.

Further interest rate hikes from the US and Europe in recent days have increased concerns that higher interest rates will put pressure on demand.

The US Federal Reserve raised interest rates by a further 25 basis points on Wednesday and the European Central Bank (ECB) followed suit on Thursday.

Conversely, concerns about a global economic downturn were eased after strong economic figures from the US on Thursday showed higher than expected economic growth in the second quarter.

Increased expectations of more economic stimulus in China have also added support to oil prices.

Meanwhile, the market is looking ahead to the next Opec+ meeting on August 4, where it will be announced whether the organization has more production cuts up its sleeve to support prices

(Translated using DeepL with additional editing by Christian Radich Hoffman)