DTN Oil Update
Oil Steadies Near 10-Week Lows Ahead of Trump-Putin Meeting
VIENNA (DTN) -- Oil prices edged up Thursday morning after slipping to a more than two-month low in Wednesday's session following the International Energy Agency forecasting an even larger oil glut by the end of the year. On Friday, U.S. President Donald Trump and Russian President Vladimir Putin will meet in Alaska to discuss Ukraine. The meeting carries both bullish and bearish risks, with President Trump on Wednesday warning of "severe consequences" should his Russian counterpart not agree to a deal.
P[L1] D[0x0] M[300x250] OOP[F] ADUNIT[] T[]
NYMEX-traded WTI for September delivery rose $0.53 to trade near $63.18 bbl, and ICE Brent for October delivery gained $0.50 to $66.13 bbl.
September RBOB gasoline futures advanced $0.0252 to $2.0956 gal, while the front-month ULSD contract slid $0.0179 to $2.2249 gal.
The U.S. Dollar Index advanced 0.158 points to 97.820.
Oil prices slumped to a 10-week low Wednesday after the IEA revised higher its global oversupply expectations, a day after the Energy Information Administration similarly forecasted a larger-than-expected oil over-hang and growing inventories. Both forecasting agencies cited the pace of OPEC production hikes, solid non-OPEC output growth, and sluggish demand growth as the main contributing factors.
Commercial U.S. crude oil inventories continued to expand last week, according to EIA data published Wednesday. The reported 3-million-barrel build in crude oil stocks and 700,000 bbl build in distillate fuel oil stocks added to bearish pressure.