Oil prices fell in Wednesday trading as the market continued to be affected by the potential impact on the global economy, ahead of the Energy Information Administration U.S. crude inventories report.
As of 09:20 GMT, Brent crude futures were down by 0.05 percent to $58.91 a barrel, languishing near a seven-month low.
West Texas Intermediate futures rose 0.04 percent at $53.63 a barrel.
Brent crude prices fell more than nine percent last week after Us President Donald Trump said he had decided to impose 10 percent tariffs on Chinese imports worth $300 billion as of September
Meanwhile, there are lingering worries regarding the global economy and thereby fuel demand amidst the persisting trade standoff between the U.S. and China.
The American Petroleum Institute (API) announced yesterday that U.S. inventories fell by 3.4 million barrels in the week ended August 2 to 439.6 million barrels, while analysts estimated a 2.8- million-barrel decline.
Later on Wednesday, the EIA government report may signal U.S. crude stockpiles slumped by 2.9 million barrels last week, following an 8.5-million-barrel drop a week before.
Although U.S. inventories have declined in a sign of growth in crude demand, global trade tensions are raising investors’ concerns.
the dollar index, which measures the performance of the six major currencies
against the U.S. dollar, rose 0.03 percent at 97.44.