Brent Crude Tumbles Amid US Inventory Build
Oil prices have continued to trade above $100/bbl despite a build in US crude stocks. The front-month ICE Brent contract lost $1.57/bbl on the day, trading at $103.67/bbl by 09.00 GMT.
US President Donald Trump dismissed claims of easing economic sanctions on Iran, stating that reports suggesting he offered to release frozen Iranian funds in exchange for reopening the Strait of Hormuz are false. Tehran has demanded that the White House releases its frozen assets to restore vessel movement through the Strait back to normalcy.
The ongoing escalation in the Middle East has contributed to oil prices remaining more than 60% higher year-to-date, according to analysts from ING Bank. The increase in US crude stocks, reported by the American Petroleum Institute (API), may indicate lower demand for oil and put downward pressure on Brent's price.