By Michael Kitchen, MarketWatch
LOS ANGELES (MarketWatch) — Oil futures meandered upward in electronic trade Thursday, but the moves were modest ahead of an interest-rate decision in Europe.
Benchmark U.S. crude-oil futures for March CLH3 +0.32% added 14 cents, or 0.2%, to $96.76 a barrel, sticking to a relatively tight range after ending 2 cents lower Wednesday on the New York Mercantile Exchange. Read: Oil ends flat as market weighs supply levels
Likewise, London-traded Brent crude for March UK:LCOH3 +0.75% added 15 cents or 0.1% to trade at $116.88 a barrel.
The moves came ahead of a European Central Bank meeting, which economists expect to yield no change in policy and — perhaps more importantly — little sign that the ECB will act to counter recent strength in the euro. Read: Draghi unlikely to take up arms in currency war
The euro EURUSD +0.32% was trading mildly higher just hours ahead of the Thursday meeting, buying $1.3536, up from $1.3522 late Wednesday.
A stronger euro can support European demand for oil, which is denominated in dollars and becomes cheaper for euro holders when their currency rises.
Oil investors were also awaiting Chinese trade data, due out Friday, which include energy-import figures that signal China’s demand trends.
Elsewhere in the energy complex, March heating oil traded HOH3 +0.43% flat at $3.19 a gallon, but March gasoline RBH3 +0.63% tacked on 2 cents for a 0.7% gain to $3.06 a gallon.
March natural gas NGH13 +0.88% gained 3 cents or 0.8% to $3.44 per million British thermal units.
Michael Kitchen is Asia editor for MarketWatch and is based in Los Angeles.
