Aug 25 Reuters Oil was headed for a second week of declines even as it rose on Friday, as the dollar firmed before a speech by Federal Reserve Chair Jerome Powell while concerns over tight supply eased.

Brent crude rose 39 cents, or 0.5, to 83.75 a barrel by 0624 GMT, while U.S. West Texas Intermediate crude was also up 39 cents, or 0.5, at 79.44 a barrel.

For the week, crude prices are set to fall between 1.22.2, a second consecutive week of decline.

No doubt the Fed39;s policy outlook will be the key driving force for markets ahead, said Yeap Jun Rong, market analyst at IG.

With fresh updates on U.S. inflation and labour market data after the previous FOMC meeting, focus will be on what factors the Fed Chair will have his attention on, he said.

Investor caution ahead of Powell39;s remarks at the Jackson Hole Symposium lifted the safehaven dollar to a 10week high, its biggest rise in a month, as markets waited for word on how long rates would stay elevated.

A strong dollar makes oil more expensive for holders of other currencies, denting demand.

On the supply side, talks between Turkey and Iraq39;s semiautonomous Kurdistan regional government on northern Iraqi crude oil exports are still going on after officials failed to reach an agreement to restart oil exports earlier this week.

Turkey stopped Iraqi oil flows via the Ceyhan port on March 25 after losing a longstanding arbitration case brought by Iraq.

The market is closely monitoring the flows of Iranian…