Benchmark Brent crude prices LCOc1 have rebounded to around $44.50 a barrel, after plunging in April to $15.98, the lowest since 1999.
For the week, Brent was on track to fall 0.5%, while USA crude was set to rise 0.6%.
The US economic outlook has darkened in the past month amid renewed lockdowns in some states from surging coronavirus cases, according to economists in a Reuters poll.
China said the USA move to close its Houston consulate this week had "severely harmed" relations and warned it "must" retaliate, without detailing what it would do. Some states have reinstated restrictions to curb the latest outbreak, which is expected to decrease fuel consumption.
The number of Americans filing for unemployment benefits unexpectedly rose to 1.416 million last week for the first time in almost four months, suggesting US economic recovery is stalling amid a resurgence in COVID-19 cases.
With massive stimulus packages and good signs from various Covid-19 vaccines early trial result, crude oil traders, could breach the strong support level of Brent at $45, regardless of OPEC+ easing some curbs on its crude oil output by 2 million barrels per day.
Meanwhile, the number of active US rigs drilling for oil increased by 1 to 181 this week, Houston-based oilfield services company Baker Hughes reported Friday. However, energy firms added one oil rig in the first weekly increase since March.
Since the increase for domestic oil prices on July 10, the worldwide oil price has fluctuated slightly, while the price change in the subsequent 10 working days was less than 50 yuan (about 7.15 US dollars) per tonne, so the prices of gasoline and diesel fuel on the Chinese market will not be adjusted at this juncture, the National Development and Reform Commission (NDRC) said.