Oil prices eased in Asian trade on Wednesday after a four-day rally, as an unexpected build in U.S. crude stocks and President Trump’s Middle East visit tempered earlier optimism from a U.S.–China tariff truce and softer inflation data.
H1: Crude Prices Slip Amid Inventory Bump
Brent (June): –0.4% to $66.38/barrel
WTI (June): –0.4% to $63.01/barrel(as of 22:02 ET / 02:02 GMT)
After jumping over 2.5% on Tuesday—near a two-week high—both benchmarks retraced as the American Petroleum Institute reported a surprise rise in U.S. crude inventories.
Tariff Truce and Inflation Data Fuel Rally
Monday’s U.S.–China Deal
U.S. cuts China tariffs to 30% (from 145%)
China trims U.S. duties to 10% (from 125%)
90-day pause spurred a risk-on shift, lifting oil on stronger demand prospects.
Softer U.S. Inflation
April CPI rose 2.3% YoY (vs. 2.4% expected) and 0.2% MoM
Contained inflation reinforced hopes that lower tariffs won’t reignite price pressures—supporting economic growth and crude demand.
Middle East Developments Under Scrutiny
Trump in Saudi Arabia:
Vowed to lift Syria sanctions
Secured $600 billion in Saudi investments for the U.S.
Iran Sanctions: U.S. Treasury targeted firms shipping Iranian oil to China, adding supply-side uncertainty after recent nuclear-dialogue progress.
Inventory Surprise and Technical Levels
The API’s weekly report showed U.S. commercial crude stocks rose unexpectedly—contrary to forecasts for a draw—capping gains. Traders will await the EIA’s official inventory data for confirmation.
Tracking Real-Time Oil Prices
Stay on top of shifting benchmarks and futures curves—such as contango/backwardation—via the Commodities API, which provides live and historical quotes for Brent, WTI, and other energy commodities.
What to Watch
EIA Inventory Release: A larger-than-expected build could push prices lower.
Gulf Political Signals: Any further U.S.–Gulf cooperation or Iran tensions will influence supply forecasts.
Trade Negotiations: Progress beyond the 90-day tariff pause could underpin longer-term demand growth.
By combining real-time oil data with key inventory and geopolitical events, investors and traders can navigate the next inflection points in the crude market.
