Oil prices traded lower on a stronger dollar as investors scaled back expectations of imminent interest-rate cuts following comments from a Fed official.
“Oil markets continue to trade in a fairly rangebound manner despite developments in the Middle East,” ING said.
“Comments from a Fed official and a surge in the USD yesterday held large parts of the commodity complex back.”
Meanwhile, tensions in the Middle East were escalating amid fresh Houthi attacks on ships transiting the Red Sea and retaliation strikes from the U.S. and its allies.