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Oil markets steady as investors weigh banking crisis

27 March 2023 09:05 (UTC +04:00)

Oil prices stabilised in Asian trade on Monday as investors sought cues from broader financial markets, APA reports citing Reuters.

Brent crude futures held unchanged at $74.99 a barrel at 0357 GMT after hitting a session high of $75.64. U.S. West Texas Intermediate crude was at $69.29 a barrel, up 3 cents, after rising to $69.92 earlier in the session.

Brent rose 2.8% last week, while WTI rebounded 3.8% as jitters in the banking sector eased.

Oil markets are closely watching the sentiment in financial market, while oil fundamentals remain sidelined, said Vandana Hari, founder of oil market analysis provider Vanda Insights.

"Expect most price action in Brent and WTI futures to occur during the Europe and U.S. trading hours, marked by plenty of intraday volatility," Hari said.

"A strong rebound is not on the cards until the (banking) crisis dissipates fully, which could take days, if not weeks," she added.

Keeping a lid on oil's gains, the dollar was firm on Monday as investors assessed regulators' moves to rein in jitters in the global banking system.