U.S. oil prices jumped to a two-year high on Friday as North American markets tightened on the partial closure of the Keystone pipeline connecting Canadian oilfields with the United States.
U.S. light crude hit highs not seen since July 1, 2015, on Friday, settling up 1.6 percent at $58.95 per barrel.
Trading activity was expected to be low on Friday due to the U.S. Thanksgiving holiday.
"Right now the big focus is on the outage on the Keystone pipeline. That's taking longer to get back on line than we all thought," Again Capital founding partner John Kilduff said. "Part of the drawdown in Wednesday's inventory report was due to the outage. It could be out for a couple more weeks."
Kilduff added that Friday's move upward came after a Bloomberg report saying OPEC and Russia have outlined the framework for a deal. However, details remain unclear and the report says there is no final agreement yet.