Summarizing Friday's performance was Phil Flynn, an analyst at Price Futures group: "The market is taking a pause as it tries to digest mixed reports that give us different ideas of future supply and demand". If the oil rig count fall continues further, it might drag USA crude oil production in the coming weeks.
The Organization of the Petroleum Exporting Countries and some non-aligned producers including Russian Federation have been withholding oil supply since the start of the year to tighten global markets.
The instability in Venezuela and the growing evidence of a slowdown in U.S. shale have pushed prices up. This led to the US taking a number of steps in the 1980s to take away OPEC's monopoly in determining oil prices, and the USA has strengthened global commodity markets with Chicago and NY.
Two sources told Reuters that the United States also aims to curb Iran's crude exports by about 20 percent to below 1 million barrels per day (bpd) from May, likely reining in waivers for Tehran's remaining customers.
Continued supply reductions would further support oil prices, which are up about 25 percent this year at $68 a barrel, and incur the wrath of US President Donald Trump, who has demanded OPEC ease its efforts to bolster the market.
"OPEC's compliance was a robust 94 percent, compared to 51 percent from non-OPEC", said the IEA, adding that major producer Russian Federation was continuing to adjust its production gradually.
With a nationwide blackout that paralysed the country for one week, demonstrating the unreliability of the country's electricity network, new questions are being raised about Venezuela's ability to continue to produce and export oil.
During President Obama's term, the USA, which changed its policy after more than 40 years in 2013, in addition to lifting the ban on oil and natural gas exports, has also chose to turn into an economy that will meet only 11 percent of its annual energy needs with imports by 2020 from an economy that was responding to its annual energy demand of 65 percent with imports in 2013.
The agency's monthly report indicates that the lower production out of the troubled country could be a "challenge" for the world's oil markets. With increasing competition, the global demand for OPEC production will not return to pre-2016 levels during the period in question.
Oil gained for a second straight week as Opec assured traders it's committed to culling supplies ahead of a key meeting with allies in Azerbaijan this weekend, said a report. The share of petroleum products in the country's exports is 1.54 percent.
The IEA report noted that until recently, Venezuela's oil production had stabilized at around 1.2 million bpd.
In a Financial Times news article, according to market research firm Rystad Energy's predictions, we will experience a 2019 where very shocking changes that would not have come to mind will take place in the global energy market.