WASHINGTON (dpa-AFX) - Crude oil futures ended higher on Friday due to likely shortage in supply due to sanctions against Iran and Venezuela, and on expectations of good demand for crude on the back of upbeat U.S. jobs data.
However, the uptick was just marginal as rising crude inventories in the U.S. continued to weigh on crude oil prices.
West Texas Intermediate Crude oil futures for June ended up $0.13, at $61.94 a barrel.
On Thursday, crude oil futures fell as much as 2.8%. For the week, crude oil futures shed about 2.2%, recording losses for a second straight week.
Around mid afternoon, Brent Crude Oil futures were up by about $0.16, at $70.91 a barrel, but still suffered a loss of about 2% in the week.
Data released by the Labor Department today showed employment in the U.S. jumped by much more than expected in the month of April, with the unemployment rate dropping to its lowest level in nearly fifty years.
The Labor Department said non-farm payroll employment surged up by 263,000 jobs in April following a downwardly revised increase of 189,000 jobs in March.
Economists had expected employment to climb by 185,000 jobs compared to the addition of 196,000 jobs originally reported for the previous month.
The stronger than expected job growth partly reflected notable job gains in professional and business services, construction, health care, and social assistance.
The report also said the unemployment rate fell to 3.6% in April from 3.8% in March, while economists had expected the rate to remain unchanged.
With the unexpected decrease, the unemployment rate slid to its lowest level since hitting 3.5% in December of 1969.
A report released by Baker Hughes said U.S. energy firms added two oil rigs in the week to May 3, bringing the total count to 807, lower than the 834 rigs active this time last year.
The EIA's weekly estimate for U.S. crude oil production showed that output reached a record 12.3 million barrels per day (bpd) last week, rising by around 2 million bpd over the past year.
U.S. crude exports exceeded 3 million bpd for the first time this year, helping offset most of the shortfall expected from U.S sanctions on Iran.
Organization of the Petroleum Exporting Countries' output reached a four-year low in April, a Reuters survey found as Saudi Arabia and its Gulf allies maintained even larger supply cuts than called for by OPEC's latest deal.
OPEC and its allies will be looking to extend their oil output when they meet on June 25-26.
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