U.S. crude prices edged up on Tuesday as a tropical storm approached the oil-producing state of Texas, but global oversupply curbed gains and kept Brent futures little changed.
U.S. July crude, also known as West Texas Intermediate (WTI), closed up 45 cents, or 0.8 percent, at $59.97 a barrel. Bren front-month August crude fell 20 cents to $63.70 per barrel, off its $64.41 intraday peak and near its 50-day moving average of $64.01.
Tropical Storm Bill churned off the Texas coast in the Gulf of Mexico and is expected to bring heavy rains and strong winds to the coast and central part of the state.
Output from offshore platforms, which pump about a fifth of U.S. crude oil production, has not been affected, and the focus is shifting to the potential effect on refineries. More than 45 percent of U.S. refining capacity is located along the Gulf Coast.