RoydadNaft –  Brent crude futures slipped 8 cents, or 0.1%, to $63.18 per barrel. U.S. West Texas Intermediate (WTI) futures dropped 14 cents, or 0.2%, settling at $59.53 per barrel.

Oil prices ended the week largely unchanged on Friday, December 5, 2025, as bullish geopolitical risks from stalled Ukraine peace talks were offset by growing concerns over a global supply surplus.

According to Roydad Naft, Brent North Sea crude closed down a marginal 8 cents (0.1%) at $63.18 per barrel, while WTI fell 14 cents (0.2%) to $59.53 per barrel.

On a weekly basis, Brent remained virtually flat, whereas WTI was on track for a roughly 1.7% gain — its second consecutive weekly increase.

Tamas Varga, oil market analyst at PVM, commented: “The market has been extremely quiet today and traded in a narrow range all week. Lack of progress in Ukraine peace talks provides a bullish undertone, but resilient OPEC output acts as a bearish counterweight. These opposing forces have kept trading deceptively calm.”

Analysts are also monitoring the potential impact of an expected U.S. Federal Reserve rate cut and rising tensions with Venezuela — both of which could stimulate energy demand. A Reuters poll of economists conducted between November 28 and December 4 showed that 82% anticipate a 25-basis-point reduction at next week’s Fed meeting, a move that would likely boost economic growth and oil consumption.

Anh Pham, senior research specialist at LSEG, said: “Supply-side factors will dominate going forward. A peace deal with Russia could flood the market with additional barrels and push prices lower. Conversely, any escalation in geopolitical tensions would drive prices higher. OPEC+ has agreed to maintain current production levels into early next year, which provides some underlying support.”

Markets remain on alert for a possible U.S. military intervention in Venezuela after President Donald Trump stated late last week that the United States would “very soon” launch ground operations to combat Venezuelan drug traffickers. Rystad Energy warned that such action could jeopardize Venezuela’s 1.1 million bpd of crude production, most of which is exported to China.

Additionally, the failure of U.S.-Russia talks in Moscow this week to deliver a breakthrough on the Ukraine war — including any agreement to reintroduce Russian oil to global markets — helped underpin prices.

These supportive factors held prices steady despite mounting evidence of oversupply. On Thursday, December 4, Saudi Arabia cut its January official selling price for Arab Light crude to Asia to the lowest level in five years in response to excess supply, according to a pricing document reviewed by Reuters.