SINGAPORE- Oil prices were little changed on Monday following steady gains in the previous week with investors awaiting fresh clues over prospects for a trade deal between the United States and China, shrugging off concerns over steadily rising oil supplies.
Brent crude futures were down 5 cents, or 0.1 percent, at $63.25. The contract rose 1.3 percent last week.
West Texas Intermediate (WTI) crude was at $57.72 a barrel, unchanged from the previous session, having gained 0.8 percent last week.
“Despite the larger-than-expected (US) inventory build … traders stayed primarily focused on US-Sino trade developments where optimism continues to build,” said Stephen Innes, market strategist at AxiTrader. “The market sees a trade deal between the US and China as more feasible, which is bullish for oil.”
The 16-month trade war between the world’s two biggest economies has slowed economic growth around the world and prompted analysts to lower forecasts for oil demand, raising concerns that a supply glut could develop in 2020.
China and United States had “constructive talks” on trade in a high-level phone call on Saturday, state media Xinhua said, but offered few other details in a report released on Sunday. – Reuters