WTI crude futures edged above $74 per barrel on Tuesday, recouping some losses from the previous session and hovering close to their highest levels in a month, as supply cuts by top crude exporters Saudi Arabia and Russia are expected to tighten the market. Last week, Saudi Arabia said it would extend its 1 million barrels-per-day cut to August, while Russia said it would cut oil exports by 500,000 bpd next month. In the US, authorities announced that they plan to purchase about 6 million barrels of oil for the Strategic Petroleum Reserve, with receipts scheduled for October and November 2023. Meanwhile, investors remain cautious ahead of key US inflation data and Chinese trade figures this week that could guide the demand outlook. The prospect of further interest rate hikes from the Federal Reserve also continued to weigh on market sentiment.
