Oil prices rose on Friday, capping a third volatile week of trading

On Friday, global equities held on to their week's gains, but increasing interest rates, high oil prices, and ongoing Russian-Ukraine crisis kept the rebound in check, as yields issued a warning signal to the economy.

According to Reuters, the MSCI world stock index (.MIWD00000PUS) was steady at 695 points, up 5.4 percent for the week but still considerably below its all-time high of 761.21 set on Jan. 4.

The STOXX (.STOXX) index of 600 prominent firms in Europe was slightly altered at 450 points, do At 0742 GMT.

Brent crude futures were up 82 cents, or 0.8 percent, to $107.46 a barrel, after soaring over 9% on Thursday, the greatest percentage advance since mid-2020.

WTI crude oil futures in the United States rose $1.14, or 1.1 percent, to $104.12 a barrel, adding to an 8 percent gain on Thursday.

Despite the rally, both benchmark contracts were expected to close the week down more than 4% after trading in a $16 range all week. Prices have fallen from 14-year highs reached just over a week ago down 9% from its all-time high set in early January.

After little headway in negotiation talks between Russia and Ukraine, oil prices remained above $100 a barrel, raising the prospect of stronger sanctions and a protracted disruption in petroleum supply.

Despite failures on the battlefield and harsh sanctions imposed by the West, Russian President Vladimir Putin has showed no signs of backing down. A fourth day of videoconference talks between Russian and Ukrainian diplomats took place, but no agreement was reached, according to the Kremlin.

There's considerable satisfaction that the US Federal Reserve finally started raising interest rates on Wednesday, and now it's just a matter of observing how the economy develops and how high inflation rises before peaking, according to Reuters.

The US and other International Energy Agency (IEA) members committed to deliver 60 million barrels of oil reserves earlier this month to cover for supply disruptions caused by Russia's invasion of Ukraine.

The IEA report had no effect on oil futures prices, which rose as investors anticipated more supply disruption. Brent crude closed at $104.97 a barrel, its highest level since 2014.

The United States will provide half of the scheduled release, according to the US Energy Department, following an unusual cabinet session of the 31 members of the International Energy Agency (IEA), which largely represents industrialized nations.

"We are prepared to use every tool available to us to limit disruption to global energy supply as a result of President Putin's actions," White House Press Secretary Jen Psaki said in statement after the IEA meeting.