Oil steady as market awaits key US inflation data

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:Oil prices were mostly steady on Wednesday as the market waited for U.S. inflation data later in the day that will likely influence the Federal Reserve's policy on future interest rate hikes.Brent crude edged up 3 cents to $85.64 a barrel as of 0403 GMT, while U.S. West Texas Intermediate dipped 2 cents to $

:Oil prices were mostly steady on Wednesday as the market waited for U.S. inflation data later in the day that will likely influence the Federal Reserve's policy on future interest rate hikes.

Prices had risen about 2 per cent on Tuesday amid optimism that the U.S. Federal Reserve is getting closer to ending its cycle of interest rate hikes, making dollar-priced oil cheaper for buyers holding other currencies. Philadelphia Federal Reserve Bank President Patrick Harker said on Tuesday that he feels the U.S. central bank may soon be done raising interest rates, while Minneapolis Federal Reserve Bank President Neel Kashkari said he believes inflation, now at a rate of 5 per cent by the Fed's preferred measure, will get to"the mid-threes" by the end of this year.

Meanwhile, data from the American Petroleum Institute showed crude inventories rose by about 380,000 barrels in the week ended April 7, sources said, against forecasts from eight analysts polled by Reuters for a decline of 600,000 barrels.

 

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