Investing.com – Crude oil futures pared losses in volatile trade on Tuesday, easing off a seven-day low as the U.S. dollar came off its highs after a successful Italian bond auction and amid expectations U.S. crude supplies declined for a sixth consecutive week.
On the New York Mercantile Exchange, light, sweet crude futures for delivery in August traded at USD94.95 a barrel during U.S. morning trade, shedding 0.2%.
It earlier fell as much as 1.7% to trade at USD93.56 a barrel, the lowest price since July 1.
The U.S. dollar eased off a four-month high against the euro after Italy successfully sold EUR6.75 billion of 12-month Treasury bills and amid speculation that the European Central Bank stepped in to buy peripheral euro zone debt.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.2% to trade at 76.52, pulling back from a three-month high of 77.17.
Meanwhile, markets were awaiting fresh information on U.S. stockpiles of crude and refined products.
The American Petroleum Institute will release its inventories report later in the day, while Wednesday’s government report could show crude stockpiles declined by 2.0 million barrels last week, the sixth straight week of declines.
U.S. oil supplies have declined nearly 4.5% since the end of May amid U.S. peak gasoline demand and the start of the Atlantic hurricane season.
Also Tuesday, the Organization of Petroleum Exporting Countries said that the group’s oil output increased by 0.5 million barrels a day in June, as Saudi Arabia ramped up production.
In its monthly report published earlier, OPEC said that despite the increase in production, the global oil supply shortfall was expected to reach 1.4 million barrels per day in the second half of the year, driven by demand in emerging markets, including China.
Elsewhere, on the ICE Futures Exchange, Brent oil futures for August delivery slumped 0.9% to trade at USD115.40 a barrel, up USD20.45 on its U.S. counterpart.
On the New York Mercantile Exchange, light, sweet crude futures for delivery in August traded at USD94.95 a barrel during U.S. morning trade, shedding 0.2%.
It earlier fell as much as 1.7% to trade at USD93.56 a barrel, the lowest price since July 1.
The U.S. dollar eased off a four-month high against the euro after Italy successfully sold EUR6.75 billion of 12-month Treasury bills and amid speculation that the European Central Bank stepped in to buy peripheral euro zone debt.
The dollar index, which tracks the performance of the greenback versus a basket of six other major currencies, was up 0.2% to trade at 76.52, pulling back from a three-month high of 77.17.
Meanwhile, markets were awaiting fresh information on U.S. stockpiles of crude and refined products.
The American Petroleum Institute will release its inventories report later in the day, while Wednesday’s government report could show crude stockpiles declined by 2.0 million barrels last week, the sixth straight week of declines.
U.S. oil supplies have declined nearly 4.5% since the end of May amid U.S. peak gasoline demand and the start of the Atlantic hurricane season.
Also Tuesday, the Organization of Petroleum Exporting Countries said that the group’s oil output increased by 0.5 million barrels a day in June, as Saudi Arabia ramped up production.
In its monthly report published earlier, OPEC said that despite the increase in production, the global oil supply shortfall was expected to reach 1.4 million barrels per day in the second half of the year, driven by demand in emerging markets, including China.
Elsewhere, on the ICE Futures Exchange, Brent oil futures for August delivery slumped 0.9% to trade at USD115.40 a barrel, up USD20.45 on its U.S. counterpart.