2018.06.0814:40:00UTC+00Crude Oil Stuck Near $65 As Trade War Flares

Crude oil inched lower Friday as the dollar strengthened on safe have demand amid a breakdown in trade relations between the U.S. and its closest allies.

Ahead of the G7 meeting, President Donald Trump said: "Why isn't the European Union and Canada informing the public that for years they have used massive Trade Tariffs and non-monetary Trade Barriers against the U.S. Totally unfair to our farmers, workers & companies. Take down your tariffs & barriers or we will more than match you!"

French President Emmanuel Macron snapped back: "The six countries of the G-7 without the United States are a bigger market taken together than the American market. There will be no world hegemony if we know how to organize ourselves. And we don't want there to be one."

West Texas Intermediate oil for July settled 21 cents, or 0.3%, lower at $65.74/bbl. Oil posted a modest weekly loss.

Baker Hughes on Friday reported that the number of active U.S. rigs drilling for oil rose by only 1 to 862 this week. That's after sharp weekly increases over the past few months.