Oil rose from a one-month low in New York ahead of data released on U.S. crude inventories, while traders weighed erratic global crude supplies and the threat to demand from trade tensions.

Prices in New York were up 0.5 percent, after front-month futures closed at the lowest level since June 21 on Monday. U.S. government data is forecast to show that American crude stockpiles resumed the decline that’s been in progress since early June, according to a Bloomberg survey. While labor strikes have hit the North Sea, including in Norway’s Knarr Field are now over. Libya has also restored halted output and Saudi Arabia has pledged to keep markets carefully balanced.

Crude has tumbled about 8 percent this month as the U.S. and China intensify tariffs on each others’ goods, a conflict that threatens to impinge on global economic growth. While prices gained briefly on Monday amid a war of words between the U.S. and Iran over oil exports, pledges from Saudi Arabia and other members of the Organization of Petroleum Exporting Countries and their allies to raise output are allaying fears of any shortfall.

“The oil market has been choppy recently as it has been reacting to bearish news followed by bullish ones,” said Tamas Varga, an analyst at PVM Oil Associates Ltd. in London.

West Texas Intermediate crude for September delivery rose 44 cents to $68.33 a barrel on the New York Mercantile Exchange at 11:20 a.m. London time. The contract fell 37 cents to $67.89 on Monday. Total volume traded was about 28 percent below the 100-day average.

Brent for September settlement rose 19 cents to $73.25 a barrel on the London-based ICE Futures Europe exchange. Prices on Monday fell 1 cent to $73.06. The global benchmark crude traded at a $5.06 premium to WTI.

Brent contracts are signaling a slight supply surplus in the short-term. The September contract is trading at a discount of 35 cents to October—a condition known as contango—as higher Libyan oil production allays supply concern over earlier industrial action at North Sea platforms operated by Total SA.

“The market seems to be obsessed with the idea that there’s oversupply, for whatever reason, and so financial investors have rushed to the exits,” said Carsten Fritsch, an analyst at Commerzbank AG in Frankfurt.

As U.S. President Donald Trump prepares to slap $500 billion tariffs on Chinese goods, finance ministers and central bankers from the Group of 20 nations warned of risks including rising financial vulnerability and structurally weak growth.

China unveiled a package of targeted policies to boost domestic demand as trade tensions threaten to worsen the nation’s economic slowdown. Asia’s largest economy grew 6.7 percent in the second quarter—the slowest expansion since 2016.

In the U.S., nationwide crude stockpiles were expected to have dropped by 3.1 million barrels last week, while inventories in the storage hub at Cushing, Oklahoma, may have also declined by 900,000 barrels, according to a Bloomberg survey before Energy Information Administration data on Wednesday.

Inventories have dropped from this year’s peak in mid-May with the start of the summer driving period when demand typically peaks.

Oil-market news:

  • Russia’s Energy Minister Alexander Novak and his Iranian counterpart Bijan Zanganehdiscussed OPEC and upstream cooperation in the Persian Gulf nation, according to a statement.
  • Waha oil production in Libya rose to 130,000 barrels a day from 100,000 barrels a day last week as loading resumed at Es Sider port, according to people familiar with the matter.
  • Industrial action at the Knarr oilfield in Norway has ended, a Shell spokeswoman said