According to the American Petroleum Institute (API), the U.S. crude oil inventories fell by 3.28 million barrels for the week ended March 30, gasoline stockpiles rose by 1.1 million barrels.
The market participants expect the U.S. Energy Information Administration to report today a 246 thousand barrels weekly rise in the U.S. crude oil inventories of 246,000 barrels, to 430.1 million barrels.
Growing tension in the trade relationships between the USA and China still weigh on oil market.
According to Julius Baer head of commodities and macro research Norbert Ruecker, trade arguments have negative impact on the markets, especially the commodities with cyclically moving quotes. If you look at the impact, the trade tariffs will, in the end, be deflationary globally,” he said, “With excessive hedge fund positions still looming over the market, profit-taking should weigh on oil prices over the coming weeks.”
Remember, the USA released a list of 1,300 of Chinese goods that can be targeted by the tariffs, in response to China's alleged abuse of the U.S. intellectual property. China's Foreign Ministry promised to respond with equal measure to any US tariffs. Some of China’s new tariffs went into effect on April 2, affecting about 15-25% of the U.S. export goods worth $3 billion.