Oil prices closed lower on Friday as attention focused on ceasefire negotiations in Gaza.

The head of Mossad returned from Doha after an initial meeting with mediators attempting to reach a ceasefire in Gaza and a hostage release agreement, with negotiations set to resume next week, according to the office of Prime Minister Benjamin Netanyahu on Friday.

Oil prices fell on Friday as the increasing likelihood of a ceasefire agreement in Gaza offset strong summer fuel demand and potential supply disruptions from Gulf of Mexico hurricanes.

Brent crude futures dropped 89 cents, or 1.02%, to $86.54 a barrel, after hitting their highest level since April earlier in the session. U.S. West Texas Intermediate (WTI) crude futures closed at $83.16, down 72 cents or 0.9%. For the week, Brent rose 0.4%, while WTI futures recorded a 2.1% increase.

WTI did not close on Thursday due to the U.S. Independence Day holiday, leading to light trading, but prices climbed this week due to strong summer oil demand expectations in the United States. The U.S. Energy Information Administration reported a significant inventory reduction of 12.2 million barrels last week, compared to analysts’ expectations of a 700,000-barrel reduction.

On the supply side, Hurricane Beryl made landfall in Mexico after causing at least 11 deaths in the Caribbean and damaging buildings and power lines across several Caribbean islands.