Oil is set to finish the week on a higher note

Oil rose for a third day, putting it on track for a weekly gain as U.S. jobs data bolstered riskier assets by suggesting the Fed will cut interest rates this year. Brent crude rose nearly 1% after two days of gains to hold above its 100-day moving average to $84 a barrel. U.S. crude neared $80. Initial applications for U.S. jobless aid rose to their highest level since August, supporting claims that monetary policy is easing. The dollar weakened on Thursday, making the commodity more attractive to most buyers. Crude’s recent gains reflected relatively muted price action, with futures contracts posting their narrowest weekly trading range since March. Prices have remained higher this year, helped by OPEC+ supply cuts, strong global demand and renewed tensions in the Middle East. The Organization of the Petroleum Exporting Countries and its allies are due to meet next month to decide on second-half output. “The crude market will remain dependent on OPEC’s supply policies. Continued cuts should support prices, but the market is sensitive to geopolitical issues,” ANZ Banking Group analysts Daniel Hynes and Soni Kumari wrote in a note. In the Middle East, Israel has said it will continue its fight against Hamas in the Gaza Strip even without U.S. assistance. President Joe Biden has said he would halt additional offensive weapons shipments to Israel if Israel launches a ground offensive in Rafah.