By Daniel Huang
Global oil prices rose to a two-week high on Friday as investors
prepared for more market-roiling headlines from Ukraine and the
Middle East over the weekend.
Brent crude for September delivery rose $1.32, or 1.2%, at
$108.39 a barrel, the highest closing price since July 10 on the
ICE Futures Europe exchange. It was the largest one-day gain for
the global benchmark since June 12.
Light, sweet crude on the New York Mercantile Exchange ended
almost flat, up 2 cents to $102.09 a barrel.
European officials met Friday to discuss ratcheting up economic
pressure on Moscow for what they say is Russia's support for
militants in eastern Ukraine. A decision to impose new sanctions
could limit access to the country's oil supplies, cutting off the
world's second-largest crude exporter behind Saudi Arabia.
In the Middle East, Palestinians in the West Bank protested
Israel's military operation in the Gaza Strip on Friday, as an 18th
day of fighting in the coastal territory claimed the life of an
Israeli soldier, an Islamic Jihad official and more Palestinian
civilians.
"Everyone is walking on eggshells right now because of the
geopolitical issues," said Carl Larry, president of Oil Outlooks
and Opinions based in Houston.
Given the situations in Ukraine and Gaza, traders who had placed
bets that prices would fall were reluctant to carry their positions
into the weekend, said analysts at Ritterbusch & Associates in
a note.
Front-month August reformulated gasoline blendstock, or RBOB,
gained 2.85 cents, or 1%, to $2.8653 a gallon. August diesel rose
4.48 cents, or 1.6%, to $2.9157 a gallon, the highest settlement
since July 3.
Write to Daniel Huang at daniel.huang3@wsj.com
Subscribe to WSJ: http://online.wsj.com?mod=djnwires