Jason Reed | Reuters
Oil fees inched higher on Tuesday, though gains were checked amid an escalation in the trade war between the United Constitutions and China.
Brent crude futures were at $70.27 a barrel at 0104 GMT, up 6 cents, or 0.1%, from their in close. Brent ended the previous session little changed.
U.S. West Texas Intermediate (WTI) crude futures were at $61.17 per barrel, up 12 cents, or 0.2%, from their foregoing settlement. WTI closed the last session steady on the day.
Analysts said the U.S.-China trade war was overshadowing the market, though merchandise fundamentals provided some support.
“A full-blown trade war would have lasting consequences on global growth, without a doubt limiting the upside for energy demand. Disruptions have balanced the market, but lower demand and rising U.S. production could make restitution for for a quick reversal,” said Alfonso Esparza, senior market analyst, OANDA.
China defied a warning from U.S. President Donald Trump and get went to impose higher tariffs on a range of U.S. goods including frozen vegetables and liquefied natural gas.
Focus was also on the Mesial East after Saudi Arabia on Monday said that two of its oil tankers were among those attacked off the seaboard of the United Arab Emirates and described it as an attempt to undermine the security of crude supplies amid tensions between the Mutual States and Iran.
The U.S. Energy Department said on Monday that it was confident global oil markets are well supplied.