Crude oil futures ended lower on Friday, weighed down by concerns about the outlook for global oil demand amid rising tensions in the Middle East. A firm dollar also weighed on oil prices. The Flash PMI reports for June from various European economies and U.K. painted a sluggish picture of regional economies, raising concerns about oil demand. Eurozone business recovery slowed sharply in June as the manufacturing sector downturn gathered momentum and activity in the services sector deteriorated. The HCOB's preliminary composite Purchasing Managers' Index, compiled by S&P Global, fell to 50.8 from May's 52.2. Elsewhere, U.K. private sector growth eased to a seven-month low in June as a slowing of service sector growth offset a stronger performance in manufacturing. However, the recent data showing a drop in inventories in the U.S., and prospects of increased demand in the U.S. in the summer driving season, helped limit the downside in oil prices.
Benchmark U.S. crude oil futures for August delivery fell $0.56 or about 0.7% to $80.73 per barrel on the New York Mercantile Exchange. Brent crude for August delivery fell $0.47 cents to $85.24 per barrel on London's Intercontinental Exchange.