HOUSTON, May 18 (Xinhua) -- Oil prices gained ground for the week ending May 17, with the price of West Texas Intermediate (WTI) for June delivery up 1.78 percent and Brent crude oil for July delivery up 2.25 percent.

WTI closed the week at 62.76 U.S. dollars a barrel on the New York Mercantile Exchange, while Brent crude finished the week at 72.21 dollars a barrel on the London ICE Futures Exchange. WTI and Brent have increased 38.21 percent and 34.22 percent, respectively, so far this year.

During the week, WTI and Brent moved in the same direction. The increase of oil prices showed that oil traders were more concerned about tightening supply than slumping demand which is mainly due to escalating trade tensions between China and the United States.

On Monday, oil prices dropped as investors were jittery about the escalating global trade friction and an attack on Saudi Arabia's oil tankers, raising further concerns over sagging global demand. WTI was down 0.62 dollar to settle at 61.04 dollars a barrel, while Brent crude fell 0.39 dollar to close at 70.23 dollars a barrel.

On Tuesday, oil prices increased as Saudi Arabia, one of the world's largest oil suppliers, said that two of its oil pipeline booster stations were targeted by drone attacks. WTI increased 0.74 dollar to settle at 61.78 dollars a barrel, while Brent crude rose 1.01 dollars to close at 71.24 dollars a barrel.

Oil prices increased on Wednesday, as investors' concerns over global supply offset an increase in U.S. crude stockpiles. WTI was up 0.24 dollar to settle at 62.02 dollars a barrel, while Brent crude increased 0.53 dollar to close at 71.77 dollars a barrel

U.S. commercial crude oil inventories rose sharply by 5.4 million barrels last week, defying market forecast with a drop of 0.8 million barrels, implying weaker demand and bearish for crude prices. However, global investors remain worried about the drone attacks on Saudi Arabia's two oil pipeline booster stations.

On Thursday, oil prices rose for a third consecutive day as global investors were rattled by the intensifying geopolitical tensions in the Middle East following attacks on Saudi Arabia's oil facilities. WTI increased 0.85 dollar to settle at 62.87 dollars a barrel, while Brent crude rose 0.85 dollar to close at 72.62 dollars a barrel.

On Friday, oil prices dropped amid worries over global demand as investors followed up on updates regarding Iranian-U.S. tensions. WTI decreased 0.11 dollar to settle at 62.76 dollars a barrel, while Brent crude fell 0.41 dollar to close at 72.21 dollars a barrel.

Oil prices have kept gaining momentum since the start of the year due to some geopolitical concerns. The momentum has slowed down recently, mainly due to concerns over downturn in demand for crude oil, but it gained ground in the week ending May 10.

The slowing global economy is a major headwind for crude oil. The slower economic growth of the world, mainly due to the ongoing trade tensions between China and the United States, will lead to less demand for oil, which, in turn, would put downward pressure on oil prices.

Moreover, a rising U.S. dollar has dragged down the greenback-denominated crude futures, as the U.S. Dollar Index has been keeping uptrend in the past months. U.S. Dollar Index closed the week at 98.00 level, quite close to the 2019 high at 98.34.

The U.S. Dollar Index is a measure of the value of the U.S. dollar relative to a basket of foreign currencies. Oil is mostly traded in dollars all over the world and a stronger dollar pressures the oil demand.

In the near future, demand growth and geopolitical issues are important factors to affect oil prices. Both OPEC and the International Energy Agency believe the world oil demand will keep uptrend in coming years, although OPEC has revised down demand growth of the world oil market.

In the coming week, analysts believe the ongoing production cuts by OPEC and Russia, as well as U.S. sanctions on Venezuela and Iran will continue to play their roles in tightening the global supplies, in turn, giving a boost to the prices.

Meanwhile, a flare-up in global trade tensions has rippled through U.S. markets across the board, triggering worries over global economic growth prospect, which would pressure crude prices. Enditem

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