Crude oil futures were slightly higher but remained near multi-year lows early in the trading session.
Economic concerns could continue to impact demand expectations, leading to further price pressure.
Fears of a U.S. recession, weakness in U.S. stock markets and concerns over tariffs affecting key oil players such as China, introduced additional market uncertainty.
These factors could continue to fuel a bearish sentiment, putting a lid on oil prices, as any slowdown in global economic growth could depress crude demand, especially from major economies.
The oil market remains fragile, with economic and geopolitical risks continuing to influence sentiment.
Developments in peace talks in Eastern Europe could also play a role in the direction of the market where a decline in tensions and reduced sanctions could lead to more supply on the market and downward price pressure.
On the supply side, U.S. crude oil production is expected to hit new records this year, which, alongside OPEC+ plans to increase output in April could weigh on prices. Increased supply could weigh on crude unless demand can absorb the additional volumes.
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