Oil gave up some of its gains above $56 a barrel on the prospect of output recovering from unexpected disruptions in some OPECmembers and renewed concerns the U.S.-China trade war will hurt economic growth.
Futures in New York slid 0.5 percent, trimming Monday’s 1.4 percent advance. Libya’s biggest oil field was set to resume pumping after an unplanned shutdown in December, while Venezuela is set to get a key product to thin out its crude and keep exports flowing. While the U.S. and China are nearing the finish line on a trade deal, it may take months or even years before the differences between the world’s biggest economies are fully resolved.
West Texas Intermediate for April delivery was down 29 cents to $56.30 a barrel on the New York Mercantile Exchange at 11:40 a.m. in Singapore. It climbed 79 cents on Monday as the U.S. and China were said to be near a settlement of their trade dispute.
Brent for May settlement traded 33 cents lower at $65.34 a barrel on the London-based ICE Futures Europe exchange. The global benchmark crude’s premium over WTI for the same month narrowed to $8.67 a barrel.
Source : Bloomberg