LONDON—Oil steadied on Monday as looming interest rate hikes by major central banks and signs of strong Russian exports balanced rising Middle East tension over a drone attack in Iran and hopes of higher Chinese demand.
Investors expect the Federal Reserve to raise rates by 25 basis points on Wednesday, followed the day after by half-point hikes from the Bank of England and European Central Bank, and any deviation from that script would be a shock.
“The risk-off cautious mood in the market ahead of the central bank meetings is hurting risk assets, including oil,” said Fiona Cincotta, analyst at City Index….