Oil prices rise ahead of inventory data

Oil drilling rigs

Oil prices rose today, March 26, ahead of weekly US inventory data and amid ongoing developments between Russia and Ukraine.

Brent crude was trading up 0.36% at $73.28 a barrel, at 9:10 am Makkah time. West Texas Intermediate (WTI) crude rose 0.38% to $69.26 a barrel.

The United States announced that Russia and Ukraine have agreed to a truce to ensure safe navigation in the Black Sea, although the Kremlin insisted that its participation will be contingent on preconditions, including the easing of sanctions.

"If there's a ceasefire between Russia and Ukraine, it might open the door for the reduction of sanctions on Russian oil," Phil Flynn, Senior Analyst with Price Futures Group, told Reuters.

The American Petroleum Institute's estimates released on March 25 showed a 4.6 million barrel decline in inventories last week, which would be the largest decline since November if confirmed by official data later today.