Oil Steadies as Traders Weigh Supply Outlook, Russia Sanctions
Oil steadied as the market juggled the outlook for more OPEC+ supply and the prospect for additional US sanctions on Russia.
West Texas Intermediate traded above $61 a barrel, while Brent closed near $64 in the previous session. An OPEC+ committee, which monitors developments in the market and production levels, meets later Wednesday before a group led by Saudi Arabia convenes on Saturday to decide on output policy for July.
The ramp up of idle output by OPEC and its allies has put pressure on oil, which has been on a downtrend since mid-January. Widespread tariffs from the Trump administration and retaliatory measures from targeted countries have also rattled global markets, raising concerns over an economic slowdown.
President Donald Trump, meanwhile, warned in a social media post on Tuesday that Russian leader Vladimir Putin was “playing with fire”, as the US weighed whether to target Moscow with additional sanctions. WTI for July delivery added 0.4% to $61.16 a barrel at 7:31 a.m. in Singapore.
Brent for July settlement closed 1% lower at $64.09 a barrel on Tuesday.
Source: Bloomberg
