NEW YORK: Crude oil prices ended near flat in a sluggish day of trading on Tuesday as stronger equity markets put a floor under prices and Brent's premium over US crude slid below $6.
Some trading was attributed to squaring positions as traders bought contracts to cover short bets made on Monday as prices dropped to a three-week low, said Gene McGillian, analyst with Tradition Energy in Stamford, Connecticut.
Oil prices bounced slightly off a three-day rout last week that followed news that the US Federal Reserve would scale back its quantitative easing program. The Fed news boosted the dollar, making commodities priced in the greenback more expensive for holders of other currencies.
Equity markets were higher on positive economic data.
US durable goods orders rose more than expected in May and existing single-family home prices posted their biggest rise in seven years.
But the data did little to guide a rally in the oil market and acted more as a "double-edged sword", McGillian said.
"It means the Fed will pare back stimulus quicker than people think and people are waiting to see what the market will look like once the Fed takes its foot off accelerator."
Front-month US crude oil futures finished the day 14 cents higher at $95.32 per barrel. US crude is down nearly $4 from a $99.01 high made last Wednesday.
Brent crude oil ended 10 cents higher at $101.26 per barrel. Brent has dropped more than $5 from its high near $107 last week.
Gasoline and heating oil futures also ended flat, at $2.73 per gallon and $2.85 per gallon, respectively.
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