Crude oil prices flat in Asian trade

30 Mar 2023 , 10:56 AM

The price of oil were flat in early Asian trade on Thursday as a smaller-than-expected reduction in Russian crude oil production supplies and a stronger dollar countered an unexpected decrease in U.S. crude oil stocks that had buoyed prices.

The price of Brent crude futures was unchanged at $78.28 per barrel. To reach $72.91 a barrel, West Texas Intermediate U.S. crude dropped 6 cents, or 0.1%.

U.S. crude oil stockpiles surprisingly decreased last week as refineries amplified production during maintenance season and imports dropped to a two-year low, the U.S. Energy Information Administration reported on Wednesday. This helped to sustain prices.

Compared to analysts’ predictions in a Reuters poll, which called for a 100,000-barrel increase, crude inventories decreased by 7.5 million barrels in the week ending March 24 to reach 473.7 million barrels.

The U.S. dollar’s strength and estimates that Russian crude production decreased by approximately 300,000 barrels per day in the first three weeks of March, less than the projected cutbacks of 500,000 bpd, reversed recent advances in oil prices.

On Wednesday, the dollar index, which typically moves in the opposite direction of oil, was 0.18% higher at 102.67, recovering from the nearly seven-week low hit late last week.

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