Brent Oil Down on Stronger Dollar, Upcoming Fed Minutes

The Brent crude benchmark edged lower on Tuesday as the U.S. dollar strengthened, while traders awaited the release of the minutes from the U.S. Federal Reserve’s meeting due on Wednesday.

As of 10:56 AM (Thai time), a barrel of Brent crude oil has fallen 93 cents, or 1.11%, to $83.14. On Tuesday, March contracts for U.S. West Texas Intermediate (WTI) oil rose 27 cents, or 0.35%, to $76.61.

Due to a national holiday in the United States, WTI futures did not trade on Monday. The most active WTI April contract prices are $77.07, up 52 cents, or 0.68%.

As the possibility of interest rates lingering higher for longer has been elevated by data on core inflation, traders are expecting the minutes of the latest Federal Reserve meeting, which are due on Wednesday.

Despite near-term challenges like U.S. interest rate hikes, analysts predict oil prices will likely increase in the next weeks due to undersupply and a demand resurgence.