Oil was steady near a 12-week high in New York, supported by signs of falling American crude inventories yet capped by continuing salvos in the U.S.-China trade dispute.
West Texas Intermediate futures were little changed, after briefly surging on signs of economic confidence in Germany. U.S. crude stockpiles fell by 2.5 million barrels last week, a Bloomberg survey showed before government data due Wednesday. The White House is scheduled to put tariffs on a further $160 billion of Chinese goods Sunday, although Agriculture Secretary Sonny Perdue said they’re unlikely to be implemented.
Oil closed at the highest level since mid-September on Friday after the Organization of Petroleum Exporting Countries and its allies surprised the market with deeper-than-expected output cuts. Attention has now turned back to the prolonged U.S.-China trade war and whether the two sides can nail down a much-hyped phase-one agreement.
WTI for January delivery gained 2 cents to $59.04 a barrel on the New York Mercantile Exchange as of 10:56 a.m. in London. The contract closed 18 cents lower on Monday after jumping 7.3% last week.
Brent for February settlement increased 1 cent to $64.26 a barrel on the London-based ICE Futures Europe Exchange after slipping 0.2% on Monday. The global benchmark crude traded at a $5.32 premium to WTI for the same month.
Source : Bloomberg