WASHINGTON (dpa-AFX) - Oil extended gains for a third straight session on Friday and was poised for another weekly gain as rising Middle East tensions stoked worries about global supply disruptions.
Benchmark Brent crude futures rose nearly 1 percent to $86.08 per barrel, while WTI crude futures were up 1.1 percent at $82.64.
Oil prices were on course for a third straight weekly jump as supply risks mount.
Cross-border strains between Israel and Lebanon's Hezbollah have escalated in recent weeks, raising concern that the Israel-Hamas war in Gaza may spread throughout the Middle East.
Earlier this week, Turkish President Tayyip Erdogan said his country stood in solidarity with Lebanon and called on the region's countries to show their support.
Oil prices were also buoyed by growing expectations that the U.S. Federal Reserve will cut interest rates this year to prevent a bigger slowdown in the world's largest economy.
On Thursday, Federal Reserve Bank of Atlanta President Raphael Bostic said he continues to expect one interest rate cut this year in the fourth quarter as inflation shows progress.
The U.S. Commerce Department's report on personal income and spending for May is due later in the day, which includes readings on inflation said to be preferred by the Federal Reserve.
Analysts expect a modest slowdown in the annual rate of consumer price growth to 2.6 percent last month from 2.8 percent, driven by falling gas prices and more deflation in consumer goods.
That's the lowest reading since March 2021 but remains above the Fed's 2 percent target.
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