London, Nov. 5. 2025 – Oil steadied as traders weighed signs of increasing US inventories against easing trade tensions between the world’s two largest economies.
Brent traded above $64 a barrel, after dropping earlier in the day, while West Texas Intermediate was near $61.
US crude inventories rose 6.5 million barrels last week, according to the American Petroleum Institute, which would be the biggest increase since July if confirmed by official data later Wednesday.
Meanwhile, China confirmed it was canceling levies on US farm goods, another step in deescalating the trade war between Beijing and Washington that has weighed on market sentiment for months.
Brent crude has fallen almost 15% this year as increased production from OPEC+ and non-member nations amplified concerns that a global glut would form.
The alliance — led by Saudi Arabia and Russia — announced another modest rise in supply for December at a meeting last weekend, while also signaling a pause in further increases in the first quarter of 2026.
Elsewhere, traders were monitoring attacks on Russian infrastructure, after Ukrainian President Volodymyr Zelenskiy announced an intensification last month.
Kyiv claimed a strike on Lukoil PJSC’s refinery in Nizhny Novgorod province, which processes about 340,000 barrels a day, mainly for domestic use. It has also targeted the Tuapse and Saratov plants over the past week.
Russia’s seaborne shipments fell the most since January 2024 last month, after US sanctions on major producers Rosneft PJSC and Lukoil led major buyers India and China to shun purchases.
“Down the line, you will see that more and more of the disrupted Russian oil, one way or another, finds its way to the market,” Gunvor Group Chief Executive Officer Torbjörn Törnqvist, said on Tuesday. “It always does somehow.”
The trading house is currently negotiating to buy the international assets and trading arm of Lukoil. (Bloomberg)
