U.S. crude stockpiles increased last week, the API reported Tuesday, just as concerns about global oversupply eased amid supply disruptions caused by a growing vessel attacks along a key Red Sea shipping route.
Oil prices steadied in Asian trade on Wednesday as signs of an unexpected build in U.S. crude stockpiles raised concerns over less tight markets in 2024, although rising geopolitical unrest in the Middle East kept prices trading at two-week highs.
The U.S. dollar slipped against most major currencies on Wednesday as traders continued to sell the currency on bets that the U.S. Federal Reserve will soon begin cutting interest rates, ahead of inflation data later this week.
Oil prices were mixed on Tuesday, with the U.S. benchmark dipping while Brent extended gains from the previous session, as attacks by Yemen's Iran-aligned Houthi militants on ships in the Red Sea disrupted maritime trade and forced companies to reroute vessels.
Most Asian stocks kept to a tight range on Tuesday as a recent post-Federal Reserve rally appeared to be cooling, while Japanese markets shot up after the Bank of Japan maintained its ultra-dovish course.
The yen fell broadly on Tuesday after the Bank of Japan (BOJ) kept its ultra-loose monetary policy unchanged and maintained its forward guidance in a closely awaited decision.