Oil futures recovered some losses on Wednesday, recovering from a 2% slide in the previous session, supported by supply concerns stemming from last week’s cut to its production target by the Organization of the Petroleum Exporting Countries and some of its allies (known as OPEC+), though a stronger U.S. dollar weighed on sentiment.
Brent crude futures last down 17 cents, or 0.18%, at $94.12 U.S. a barrel after touching a session low of $93.33.
U.S. West Texas Intermediate crude was down 37 cents, or 0.43%, at $88.97 after a session low of $88.27.
Last week, OPEC+ decided to cut their output target by two million barrels per day (bpd).
Also on the supply side, Russia’s state-owned pipeline monopoly Transneft on Wednesday said it had received notice from Polish operator PERN about a leak on the Druzhba oil pipeline, Interfax reported.
Meanwhile, the U.S. dollar hit a 24-year high against the yen on Wednesday on concerns about inflation and the pace of increases to U.S. interest rates.
