NNA - Oil prices saw a slight decline on Wednesday as traders exercised caution while awaiting further indications from the Federal Reserve. However, prices remained close to four-month highs due to ongoing signs of limited supplies. The May expiration of Brent oil futures dropped by 0.3 percent to $87.13 per barrel, while West Texas Intermediate (WTI) crude futures fell by 0.3 percent percent to $82.45 per barrel at 20:37 ET (00:37 GMT). Both contracts stayed near their highest levels since November.

Recent market sessions witnessed a significant rally in crude prices, driven by increasing indications of tighter global supplies. This trend was further amplified by strikes on crucial Russian fuel refineries, resulting in production capacity shutdowns. Moreover, certain members of the Organization of the Petroleum Exporting Countries (OPEC) signaled their intentions to reduce production in the upcoming months. OPEC also maintained its current pace of supply cuts until June.

In terms of demand, the resumption of production by major U.S. refineries after an extended break is expected to lead to an increase in U.S. crude demand. Chinese fuel demand also displayed signs of improvement during the Lunar New Year holiday, although the growth rate of China’s oil imports slowed down.--agencies 

===========R.H.