SINGAPORE: Oil prices held steady on Wednesday after falling about 1% in the previous session, as concerns over supply outpacing demand capped gains and investors watched for progress in Russia-Ukraine peace talks.
Brent crude futures were up 11 cents, or 0.2%, to $62.05 a barrel at 0241 GMT. U.S. West Texas Intermediate crude was at $58.38 a barrel, up 13 cents, or 0.2%.
While the oil market is moving deeper into an expected glut, Russian supply remains a risk, ING analysts said in a note.
“While Russian seaborne export volumes are holding up well, these barrels are struggling to find buyers,” ING said, adding that Russian oil output will start to fall if buyers are not found.
Ukrainian President Volodymyr Zelenskiy said his country and its European partners will soon present the U.S. with “refined documents” on a peace plan to end the war with Russia, following days of high-stakes diplomacy.
A peace deal between Ukraine and Russia could bring about the removal of international sanctions on Russian companies, which could free up restricted oil supply.
Meanwhile, the Energy Information Administration said it expects U.S. oil production to hit a larger record this year than previously expected, raising its 2025 forecast by 20,000 to average 13.61 million barrels per day.
The organisation, however, lowered its forecast for total output in 2026 by 50,000 to 13.53 million bpd.
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