Oil prices rose in Asian trade on Wednesday as industry data showed a drop in U.S. inventories and boosted expectations of tighter supplies, although anticipation of key inflation data kept gains limited.
The dollar traded near a one-month low versus the euro on Wednesday amid lower Treasury yields as traders braced for a key U.S. inflation report later in the day that could dictate the path of Federal Reserve policy.
U.S. stock indexes were a mixed bag on Monday, with the S&P 500 staying shy of its March record high as investors waited for key inflation readings and earnings reports due this week while a survey showed consumers concerned about inflation.
Asian shares hovered around 15-month highs on Tuesday and the dollar was firm ahead of highly anticipated U.S. inflation data, while Japanese bonds were squeezed as the central bank pulled back a little on its bond buying programme.
Oil prices rose slightly in Asian trade on Tuesday, extending gains from the prior session as top importer China gave clear signals on its plans for fiscal stimulus, while wildfires in Canada came dangerously close to oil hubs in the country.
The dollar was steady on Tuesday as investors awaited an inflation report this week that will likely shape the U.S. rates outlook, while the yen was hovering near a two-week low, stoking intervention worries.