20.02.201803:13:00UTC+00Oil Markets Split as U.S. Crude, Brent Prices take Opposite Directions

Oil markets were mixed as U.S. WTI prices were driven up by the decline in flows from Canada while international Brent prices eased.

U.S. WTI crude futures traded at $62.38 per barrel, 70 cents or 1.1 percent higher from their last close. Traders said the higher prices of U.S. crude were due to reduced flows from Canada's Keystone pipeline, which has been operating below capacity since late 2017 because of a leak, cutting Canadian output into the U.S.

Meanwhile, Brent crude edged down on the back of a decline in Asian stocks and a solid dollar, which potentially affected demand as it makes fuel more costly for nations using other currencies locally. Brent crude futures stood at $65.48 per barrel, falling 19 cents or 0.3 percent from their last settlement.

The opposing price movement of the two main crude benchmarks have significantly lowered WTI's discount to Brent, down to around $3.22 per barrel, down from more than $7 in late 2017.

In general, oil markets continue to be well supported by the production restriction deal by OPEC and other producers, which began last year in order to balance the global supply. OPEC Secretary-General Mohammad Barkindo said the cartel recorded 133 percent compliance with the agreed production reduction targets in January. In 2017, Barkindo said compliance stood at 107 percent.