Summary:
Oil prices eased Thursday after a surge due to a US gasoline stock draw, with WTI net long positions at a 15-year low in February.
Oil prices eased on Thursday after surging the day on the positive sentiment from a sizable draw in US gasoline stocks. Traders have slashed bullish bets on crude oil, with WTI net long positions at a 15-year low in February.
Cooler inflation last month leaves the door open for the Fed to resume cutting interest rates by mid-year, but the central bank remains worried that tariffs could rekindle price pressures.
US crude stockpiles rose by 1.4 million barrels in the latest week, EIA data showed, less than the 2 million-barrel rise analysts had expected. Gasoline inventories also fell more than expected.
Canada could impose non-tariff measures such as restricting its oil exports to the US or levying export duties on products if the trade dispute escalates, the country's energy minister Jonathan Wilkinson said on Tuesday.
Trump threatened on Wednesday to escalate a global trade war with further tariffs on EU goods. His unpredictability has rattled investors, consumers and business confidence and raised recession fears.
OPEC's monthly report showed OPEC+ raised output in February by 363,000 barrels per day, though the group kept its forecasts for relatively strong growth in global oil demand in 2025.
WTI crude has recently digested its heavy losses with the initial resistance around $68. A break above the level could lead the price to $70.
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