Oil retreats and dollar fluctuates amid energy supply concerns

Oil prices fell in early Asian trading on Tuesday as markets assessed an executive order by US President Donald Trump suspending some sanctions on Russian energy exports, while attacks in Saudi Arabia and Yemen kept concerns about Middle East supply alive. Brent crude fell 0.45% to $109.06 a barrel, and West Texas Intermediate fell 0.33% to $103.32.

Oil prices fell in early Asian trading on Tuesday as markets assessed an executive order issued by US President Donald Trump suspending some sanctions and tariffs related to Russian energy exports, while attacks in Saudi Arabia and Yemen kept concerns about possible disruption to energy supplies from the Middle East alive. Brent crude futures fell 0.45% to $109.06 a barrel by 00:10 GMT. US West Texas Intermediate crude futures for November delivery, which expire today, fell 0.33% to $103.32 a barrel, while the more actively traded December contract fell 46 cents, or 0.47%, to $98.08. Brent had risen in the previous session to $110.70 a barrel, its highest since May 20. The International Energy Agency said Russia's crude oil production rose by 65,000 barrels per day in September to 8.43 million barrels per day, but remained about 870,000 barrels per day below its level a year earlier. Tim Waterer, an analyst at KCM Trade, said the possibility of increased Russian diesel supplies could provide some relief to markets, but traders are more focused on the continued risk of further damage to energy infrastructure in the Gulf region. In the United States, a preliminary Reuters poll showed expectations of a decline in crude oil, gasoline, and distillate inventories.