NEW YORK: Oil prices nudged higher on Friday to fresh one-week highs after US President Donald Trump warned of “consequences” if Russia blocked a Ukraine peace deal, injecting concerns about supply. 

Sentiment was also boosted by strong economic data out of Japan, which is among the largest global crude importers. 

Brent crude futures gained 16 cents, or 0.2 percent, to $67.00 a barrel by 03:17 a.m. Saudi time. US West Texas Intermediate crude futures were up 14 cents, also 0.2 percent, to $64.10. 

All eyes are on Friday’s meeting of Trump and Russian leader Vladimir Putin in Alaska, where a ceasefire in the Ukraine war is at the top of the agenda. A continued conflict between Russia and Ukraine supports oil markets by limiting the supply of Russian oil. 

Trump, however, also said he believes Russia is prepared to end the war in Ukraine. 

Fresh Japanese government data released on Friday showed the economy expanded an annualised 1.0 percent in the April-June quarter, compared with a median market forecast for a 0.4 percent increase. 

The rise in gross domestic product translated into a quarterly increase of 0.3 percent, compared with a median estimate of a 0.1 percent increase. Strong economic activity typically spurs oil consumption. 

Prospects of higher-for-longer US interest rates, however, kept oil prices from rising further. 

Higher-than-expected inflation data and weak jobs numbers out of the US raised concerns that the Federal Reserve would keep interest rates high, usually a dampener of oil consumption.