Crude oil and gasoline prices settled mixed on Tuesday, with crude supported by US plans to refill the Strategic Petroleum Reserve and easing US-China trade tensions. A stronger dollar and concerns of a global supply glut were bearish factors for energy prices. Short covering emerged after reports of the Trump administration planning to buy oil for the SPR.

Crude prices found support after OPEC+ agreed to a smaller-than-expected increase in crude production. Reduced crude exports from Russia and concerns about the ongoing war in Ukraine impacting Russian energy exports are supportive of oil prices. Higher crude production in Iraq is expected to boost global oil supplies.

The consensus is that Wednesday’s EIA inventories will show an increase in crude inventories and a decline in gasoline supplies. Last week’s EIA report revealed US crude oil inventories below the seasonal 5-year average, while gasoline and distillate inventories were above and below the average, respectively.

Baker Hughes reported a stable number of active US oil rigs, slightly above a 4-year low. The number of US oil rigs has significantly decreased from a 5.5-year high in December 2022. Rich Asplund did not hold positions in any mentioned securities. Information in this article is for informational purposes only.

Read more at Yahoo Finance: Crude Oil Gains on News the US Plans to Refill the SPR