Oil prices steady near two-month highs amid light trading

International crude oil benchmarks closed Thursday, 04 July, with modest gains, despite subdued trading volumes in West Texas Intermediate (WTI) due to the Independence Day holiday. Market sentiment remained buoyant following a bullish report from the Energy Information Administration (EIA), which indicated a significant reduction of over 12 million barrels in U.S. commercial crude inventories.

Further contributing to the upward pressure were announcements from Russia's Rosneft and Lukoil regarding their plans to cut crude exports in July as their refineries resume operations. However, gains were tempered by Saudi Aramco's decision to lower crude prices to Asia for August deliveries, reflecting weaker demand in the region.

Brent crude increased by 21 cents, closing at $87.55 per barrel.

WTI rose by 18 cents, settling at $84.06 per barrel.

Written by: Rochelle Nguyen