Oil Steadies as Market Awaits Trump's Trade Salvos
Brent crude hovers above $77 per barrel, having gained 4% over the past week. West Texas Intermediate trades near $73.
US crude stockpiles surged by 9 million barrels last week, while fuel inventories declined, according to the American Petroleum Institute.
Official figures later Wednesday will reveal if Canadian crude flows to the US increased following Trump's tariff threats.
The stockpile build would mark the largest in a year if confirmed by Energy Information Administration data.
Oil has faced volatility since the start of 2019, with initial gains due to increased heating demand and US sanctions on Russia offset by Trump's trade tariffs.
"Brent and WTI are likely to remain range-bound between $70 and $80," said Stefano Grasso of 8VantEdge Pte. "Stricter sanctions on Iran or Russia could drive prices higher."
US sanctions are impacting Russian crude flows, with stranded barrels from Pacific platforms and ESPO grade crude offered at discounted prices to entice Chinese buyers.
OPEC's monthly oil report and the International Energy Agency's outlook are due later this week, providing further market insights.