FX.co ★ Oil Eases on Higher US Stockpiles

On Wednesday, West Texas Intermediate (WTI) crude oil futures moderated to around $63 per barrel, retracting a 2.8% gain from the day before, after an industry report highlighted an unexpected increase in U.S. crude inventories. The American Petroleum Institute (API) data revealed a surge of 4.29 million barrels in stockpiles last week, marking the largest rise in six weeks and defying predictions of a 2.4 million-barrel decline. Despite these figures, prices remained close to a two-week high, underpinned by fresh threats of sanctions against Iran and a positive global trade outlook. Additional support stemmed from the provisional tariff agreement between the U.S. and China, alongside a weaker U.S. dollar, which tends to make commodities priced in dollars more attractive. Market attention is now focused on President Trump's visit to the Middle East, coinciding with peak fuel demand, with stability in oil prices likely being a key concern.