Oil stable as US demand weakens

Oil drilling rigs

Oil held steady today, Jan. 9, after losing ground in the previous session following data showing weak US fuel demand and a stronger dollar.

International benchmark Brent crude was trading at $76.17 a barrel, at 09:25 am Makkah time, after losing more than 1% yesterday.

West Texas Intermediate (WTI) crude held at $73.33 a barrel.

Latest data from the US Energy Information Administration showed that US gasoline inventories rose by 6.3 million barrels last week, distillate inventories increased by about 6.1 million barrels, and crude oil inventories climbed one million barrels.

The data raised investor concern on weak demand for black gold in the US, especially after Federal Reserve members lowered their expectations for the pace of monetary easing in 2025 and expressed concerns about the inflationary effects of the potential policies of President-elect Donald Trump.

Trump will take office on Jan. 20, and has repeatedly threatened to impose comprehensive tariffs on several countries, including China, Canada and the European Union states.

Trump's team is considering declaring an economic emergency as a legal cover to justify the implementation of the tariff plan, CNN reported, citing informed sources.

This led to a rise in the dollar index – which represents the value of the greenback against six major currencies – before settling at 109.13 points today.