Shafaq News

Oil prices edged up on Tuesday, ‌bolsteredby a weaker dollar, while markets watched President Donald Trump's threats ofhigher U.S. tariffs on European nations over his desire to buy Greenland.

Brent futures rose 15 cents, or0.2%, to $64.09 a barrel at 0430 GMT. The U.S. West Texas Intermediate crudecontract for February, which expires on Tuesday, was up 14 cents, ‌or 0.2%, to$59.58.

The more actively-traded WTI Marchcontract gained 6 cents, or 0.1%, to $59.40. ​WTI contracts did not settle onMonday due to the U.S. Martin Luther King Jr. Day holiday.

"A weaker U.S. dollar providedsome support to oil and the broader commodities complex," said INGcommodities ‍strategists on Tuesday. A weaker greenback makesdollar-denominated oil contracts cheaper for holders of other currencies.

Prices have held up relatively wellamid a broader risk-off move in the markets, said ING, adding this followed there-emergence of trade tensions between ⁠the U.S. and Europe over Trump'sGreenland demands.

Over the weekend, fears of a renewedtrade war ‍escalated after Trump said he would impose additional 10% leviesfrom February 1 on goods imported from Denmark, Norway, Sweden, France, ‌Germany,‌the Netherlands, Finland and Britain, rising to 25% on June 1 if no deal onGreenland was reached.

CHINA DATA SUPPORTS OIL

The oil market is also finding somesupport from the better-than-expected fourth-quarter Chinese gross domesticproduct data released on Monday, said IG market analyst Tony Sycamore.

"This resilience in the world'stop oil ⁠importer provided a lift ⁠to demand sentiment," he ​said.

China's economy grew 5.0% last year,the data showed, meeting the government's target by seizing a record share ofglobal demand for goods to offset weak domestic consumption. That strategyblunted the impact of U.S. tariffs but is increasingly hard ‍to sustain.

The country's refinery throughput in2025 also climbed, edging up 4.1% year-on-year, while crude oil output grew1.5%, government data showed on Monday. Both were at all-time highs.

Markets are also keeping a close eyeon Venezuela's oil sector after Trump ​said the U.S. would run the industryfollowing the capture ‍of President Nicolas Maduro.

Vitol offered Venezuelan oil toChinese buyers at discounts of about $5 per barrel to ICE Brent for Aprildelivery, ​multiple trade sources said.

Reuters

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