Oil steady on trade pact optimism, stock draw; eyes on MidEast

SINGAPORE: Oil prices hovered around three-month highs on Monday following a higher-than-expected crude inventory drawdown and optimism over an expected US-China trade deal, while traders kept a close eye on Middle East unrest.

Markets showed little immediate reaction to news of US air strikes in Iraq and Syria against an Iran-backed militia group, even as US officials warned “additional actions” may be taken.

West Texas Intermediate (WTI) crude futures edged up 1 cent to $61.73 a barrel by 0210 GMT. The US benchmark is up about 36 per cent so far this year.

Brent crude futures were at $68.28 a barrel, up 12 cents. The international benchmark has risen around 27 per cent in 2019.