(CNBC) – Oil prices were heading for a weekly gain of more than 2%, with Friday’s prices were little changed on the day as traders were kept on edge by simmering tensions in the Middle East ahead of a planned resumption in Gaza ceasefire talks in the coming days.
Brent crude futures rose 71 cents, or 0.95%, to $75.09 a barrel, while U.S. West Texas Intermediate crude was up 73 cents, or 1.04%, at $70.92.
“Uncertainty makes investors understandably and justifiably pragmatic,” said PVM analyst John Evans.
Investors continue to await Israel’s response to a missile attack by Iran on Oct. 1, which could involve strikes on Tehran’s oil infrastructure.
Investors are also seeking more clarity on China’s stimulus policies, though analysts do not expect such measures to provide a major boost to oil demand.
Goldman Sachs on Thursday left its oil price forecasts unchanged at between $70 and $85 a barrel for Brent in 2025, expecting the impact from any Chinese stimulus to be modest relative to bigger drivers such as oil supply from the Middle East.
“Market participants remain fundamentally torn between supply risks due to the tense situation in the Middle East and demand concerns,” Commerzbank analysts said.
