New york: Oil prices rose after the Federal Reserve expressed openness to cutting interest rates in September, offsetting the negative effects of expectations of a supply glut. West Texas Intermediate crude rose to settle above $63 a barrel on Friday evening, while Brent crude stabilized near $68.

According to National Iraqi News Agency, oil futures prices are likely to benefit from cheaper borrowing costs, which are expected to stimulate economic activity and increase fuel demand. Low interest rates also ease financing and storage costs, which make holding oil positions more expensive when interest rates rise.

However, oil gains remain limited due to continued expectations that global markets will face a supply surplus after the end of peak summer demand. Prices have fallen more than 10% since the beginning of the year amid fears that US tariffs will harm economic growth, coinciding with the return of supplies to markets by OPEC+ countries.