WTI Crude Oil steadied around $80 per barrel on Tuesday as investors weighed persistent demand concerns against supply-side uncertainties.
On Monday, the US oil benchmark dropped to as low as $75.27 for the first time since January following a report that OPEC+ was considering an output increase next month, before recovering those losses after Saudi Arabia denied the news.
Saudi Energy Minister Prince Abdulaziz bin Salman also signaled that they are ready to reduce production further to balance supply and demand, if needed.
Meanwhile, the crude oil investors demand outlook remains mired by resurgent virus outbreaks in top crude importer China that prompted authorities to reinstate some Covid restrictions.
Investors also contended with the prospect of even tighter financial conditions after US Federal Reserve officials reiterated their commitment to fighting inflation.
While Earlier The S&P/TSX Composite index fell 0.1% to 19960 on Monday, pressured by heavy-weighing commodity-backed stocks while investors continued to assess the outlook on monetary tightening in North American central banks.
Energy producers and miners traded in Toronto booked losses after Covid deaths in China ramped up fears of strict and extended lockdowns in the country, pressuring commodity prices.
Oil giants Suncor and Cenovus Energy fell 1.2% and 2.5%, respectively, while gold-miner Barrick Gold retreated 1.7%. In the meantime, policy-sensitive tech shares tracked losses in the Nasdaq and trailed by 1%